Business purchase loans are available to anyone wanting to buy a business or a start-up company, and these types of funding are available through a variety of commercial lending companies in the borrower’s local area or through national companies that conduct business across state lines. Lenders also offer terms for small company start-ups through the SBA and their funding services. Funding for other firms can be obtained from a local banker or commercial loan company, or a business purchase loan can be acquired through different services on the Internet. Owners who are getting start-up monies for their businesses will need proper documentation and will need to know the legal procedures for purchasing a business. The borrower can research through the Internet on how to get a loan and how to conduct the purchase. A variety of websites offer links and contacts to commercial lenders. The size of the company or agency the borrower is purchasing will determine the lending agency he will work with. Only certain companies qualify for the criteria for an SBA (small business loan), but the applicant can find these criteria online.Once a lending agency is located and the type of business purchase loan is determined, borrowers will need to submit financial plans and documentation of the company’s history to the lending agency. Lenders generally need copies of the legal documents involved with Articles of Incorporation, board by-laws, and any binding agreements. Also, to qualify for business purchase loans, borrowers may need to submit personal financial statements and past tax returns. Even if the purchaser is buying an established company with inventory, he will need to submit a complete list of inventory and pricing as well. A good credit history is also essential to provide when applying for a business purchase loan.
The borrower can experience a great sense of excitement as he looks forward to his new entrepreneurial venture. Receiving business purchase loans can mean a bright future for the company. At the same time, an owner can also experience anxiety over making good choices and decisions. As believers, our first step in any financial decision is to take it to the Lord in prayer. Proverbs 3:6 says, “In all thy ways acknowledge him [God], and he shall direct thy paths.” This is certainly just as important to apply in our financial dealings. No Christian should sign on the dotted line without first making sure that the decision to get a loan is in God’s will.