We have a few deals that keep coming across desk offering great termsredacted% seller notes on 2 year standby, 10 year amort, 0% interest + low multiples + 12 month transitions included + 3 months working capital included and so on) where the main issue that's stopping them from being SBA bankable is their discretionary spend that gets normalized is too much of the net income.

Typically it's all provable - they can produce receipts and it's easily justifyable (ie. rent paid to self for a 100% remote company or personal health insurance). Just that it's a high ratio, typically 70-80% of net is made up of this spend.

Curious if there's any good alternative options out there given these deals can easily take on 15-20% debt rates but just need to be bought, run clean and by the first tax return look night and day different.