Lender required cash injection for a business with a $15 MM price tag

investor profile

September 04, 2020

by an investor from New York University in St. Louis Metropolitan Area, USA

I want to buy a contractor in the U.S. EBITDA is a little over $5 MM. Price is $15 MM. Seller is willing to finance part of the price (depending on what a lender would require). How big a cash injection would a bank typically require? SBA is not an option and there are not a lot of hard assets so this would have to be a cash flow loan.

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commentor profile
Reply by a professional
from New York University in New York, NY, USA
You can probably get some non-bank lending sources as well, although this particularly deal must have some issues given the low multiple. Happy to discuss if you want to email me.
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Reply by a lender
from Fordham University in Fort Myers, FL, USA
Thanks for the tag, Luke.....Mr. Anonymous, send your Executive Summary to: redacted
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