Business Acquisition Loan Calculator

Business acquisition lending often combines SBA + seller note + buyer equity.

Purchase price

SBA %

Seller note %

SBA rate %

Seller note rate %

Term years

Total monthly payment

$16,962

Buyer equity

$225,000

SBA payment

$14,464

How the math works

SBA + seller note + buyer equity = price. Each loan amortizes separately.

$1.5M = $1.05M SBA + $225k seller + $225k equity. SBA $14,469/mo + seller $2,498 = $16,967.

How to Use

Enter purchase price.
Enter sba %.
Enter seller note %.
Enter sba rate %.
Enter seller note rate %.
Enter term years.
Read total monthly payment.

Frequently Asked Questions

Business acquisition financing structure?

Standard structure: 70–80% SBA 7(a), 5–15% seller note (subordinate), 10–20% buyer equity. SBA 7(a) max $5M. Cash flow lending: requires 1.25–1.50x DSCR on EBITDA. Asset-based for inventory/receivables-heavy: 60–80% AR, 50% inventory. Earnout: post-close performance pay. Personal guarantee: required for 20%+ owners. Quality of earnings (QoE): $25–75k typical for $1M+ deal, validates EBITDA. Industry-specific: SBA hesitant on certain industries (real estate, oil/gas, multi-level marketing).

How does this fit small business finance?

Small business owners use this calculator alongside cash flow forecast, P&L, balance sheet, and tax projection. Pair with industry benchmark data (RMA, BizMiner, IBISWorld). Decision framework: ROI > capital cost + risk premium > minimum threshold for owner time. Single calculator output is one input — owner intuition + market knowledge + financial discipline complete the picture.

SBA financing fit?

SBA 7(a): up to $5M, working capital, equipment, real estate, business acquisition, longer terms. SBA 504: real estate + equipment, fixed rate, 10–25 years. SBA Express: up to $500k, faster. SBA Microloan: up to $50k. Owner-occupied real estate (51%+ owner use) qualifies. Personal guarantee required. SBA fees: 2–3.75% of guaranteed portion.

When is this worth pursuing?

Small business decisions weighing capex, hiring, expansion, financing should consider: ROI threshold (typically 20%+ for owner risk), payback period (under 3 years preferred), cash flow coverage, opportunity cost vs alternatives. Calculator outputs inform but don't decide — owner judgment about market, competition, and execution capacity is what makes the call.