Business Acquisition Financing

Buy a business with SBA 7(a) financing

Business acquisition loans from $10K-$5M through our SBA-approved partner lenders. Buy an existing business, purchase a franchise, or buy out partners with competitive rates and long terms.

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Only 4 minutes • No impact to credit score

The government-backed loan for business purchases

SBA 7(a) loans are partially guaranteed by the U.S. Small Business Administration, enabling lenders to offer better terms than conventional bank loans. Lower down payments, longer repayment periods, and competitive capped rates make acquisitions more accessible.

What you can acquire

Existing businesses

Franchise locations

Partner buyouts

Family business succession

Why buy instead of start

Existing cash flow from day one

Established customers and staff

Proven business model

Lower risk than startups

Terms and requirements

Loan terms

Amount

$10K–$5M

Rates

11–13% APR

Term

10–25 years

Down payment

10%

Timeline

3–6 weeks

Documentation needed

Independent valuation

3 years business tax returns

Letter of Intent or purchase agreement

Personal tax returns and financial statement

Post-acquisition business plan

Your qualifications

680+ credit score

2+ years relevant experience

10% down payment

Strong personal financials

Target business requirements

2+ years operating history

Positive cash flow

Clean financials

Reasonable valuation

Best terms available for buying a business

Lower down payment vs banks

Only 10% down compared to 20-30% for conventional loans

Longer repayment terms

Up to 25 years for real estate, 10 years for business assets

Government-backed approval support

SBA guarantee reduces lender risk and improves approval odds

Competitive capped rates

Maximum rates set by SBA, typically lower than alternatives

Easier qualification than conventional loans

More flexible criteria for credit and collateral requirements

From target business to
ownership in 60–90 days

2–4 weeks

Identify and value

Find your target business, conduct due diligence, and obtain an independent business valuation.

1 week

Letter of Intent

Negotiate and submit a Letter of Intent outlining purchase price and terms.

4–6 weeks

Apply and underwrite

Complete SBA loan application, submit documentation, and work through underwriting and approval.

1–2 weeks

Close and transition

Finalize loan documents, close the transaction, and begin business transition and onboarding.

Approval and funding typically takes 1–2 weeks

How seller notes improve your loan

A seller note is when the seller agrees to finance a portion of the purchase price. This is viewed
favorably by SBA lenders and reduces the cash you need to bring to closing.

Why it helps

Shows seller confidence in the business

Can cover part or all of your down payment

Reduces buyer cash needed at closing

Example breakdown

Purchase Price

$500,000

SBA loan (80%)

$400,000

Seller note (10%)

$50,000

Buyer cash (10%)

$50,000

In this scenario, you only need $50,000 cash instead of $100,000 thanks to the seller note.

Frequently Asked Questions

Can I buy with no money down?

No. SBA requires 10% down minimum. Seller financing can cover part or all of it.

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Can I buy a franchise?

Yes. The franchise must be on SBA's approved directory.

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What about buying out a partner?

Yes. SBA 7(a) loans can finance partner buyouts in your current business.

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What if the business is losing money?

Very difficult. SBA needs positive cash flow or a strong turnaround plan.

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How long does approval take?

3-6 weeks typical. Proper preparation speeds this up significantly.

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Do I need collateral?

The business serves as primary collateral. Personal guarantees required from owners with 20%+ stake.

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Led by SBA lending experts

$300M+

deployed

1,000+

Businesses Funded

NAGGL

Board Member

Senior VP

SBA Banker

Licensed Broker

Approved Partner

Data Encryption

GDPR Compliant

What business owners are saying

Real feedback from real founders

They turned complex financial challenges into smooth solutions — and made the process enjoyable.

Christopher McKenney

SBA Loan

The team at ChatBiz Finance are knowledgeable and seasoned professionals, further strengthened by an entrepreneurial spirit. I highly recommend them.

Ray Juncoso

Working Capital

ChatBiz made it easy from day one. They advised me on my bookkeeping and helped me get approved when I really needed clarity and support. They’re true experts who got me the best structure for my financial goals.

Akhil Bhandare

Working Capital

Finance your business
acquisition with SBA 7(a)

Check your eligibility in minutes with no impact to your credit score and no commitment required. Our SBA specialists will guide you through every step of the acquisition process.

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