Hi all; I'm in the process of putting together an LOI for a SaaS company, and wanted to share my potential financing challenge and see if anyone has any recommendations.

The target company had been earning ~$320K EBITDA annually through Q3 last year, but then implemented a packaging/ pricing change with the net result of increasing EBITDA to $90K/ month, or $1.08M annualized. The company is looking to get valued on that earnings basis, at $3.5M (aka a 3.5x EBITDA multiple), which I think is completely reasonable based on my analysis of their renewal/ churn rates since this change. However, of course SBA lenders may have an issue with this, given that it's only the last few months that reflect this updated earnings level.

In the case that the SBA lender only approves a loan for a portion of the purchase price, does anyone have any recommendations for alternative/ private lenders that specialize in software, subscription, etc. that might be a good fit to contact?

One that I've taken a look at is Boopos, but they have very high interest rates.
FWIW I had previously been pre-qualified by the SBA for up to $5M, and plan on discussing seller financing.