These are notes created when a business owner sells their business using owner financing. It is much more difficult to get a bank loan for the purchase of a small business than it is to get a loan for a home. Businesses have a historically high failure rate, and many do not own enough collateral to satisfy a bank loan.

Sellers usually have no choice but to offer financing. They accept a cash down payment for part of the sale, and a promissory note for the balance.

Sometimes the seller is perfectly content to receive the payments over 3, 5, or more years. More often, they have needs for the cash today or tire of the hassle collecting payments.

A Couple of Reasons Why Clients Choose to Sell Their Notes To have the capital to start their next project
Fund college tuition
Eliminate debt
Enhance their investment portfolio
Eliminate the hassle and worry of collecting payments

Eligible Businesses include, but are not limited to:

Restaurants/Bars
Printers
Medical Practices
Liquor Stores
Convenience Stores
Florists
Gas Stations
Auto Repair Shops
Dry cleaners/laundries
Manufacturers
Hair, Nail and Day Salons
Various Service Industries

Typical Business Note Buying Criteria:

"First" position as lien holder
Substantial down payment (usually 30% minimum)
"Seasoning" (3- 4 payments made already)
Buyer's previous experience in business
Buyer has good credit

While these are typical criteria desired, each transaction will be considered on its own terms and strengths. Every note is reviewed on an individual basis.  See Business Note Underwriting Requirements

Feel free to contact us anytime for a free no-risk consultation toll-free at (877) 836-4661 or email us if you have any questions.