SBIC Deal Structure

by a searcher

2 months ago

Does anyone have details on typical structure and parameters when purchasing a business using SBIC financing?

I understand SBIC does not require a PG and they may ask for some equity.

Any color on LTV available, rates, amortization, minimum DSCR, covenants, minimum EBITDA or tranche size, etc?

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lender from The Catholic University of America

Please send an email to --@----.com if you'd like to discuss.

2 months ago | like reply | 0 likes

lender from Montclair State University - School of Business

The ones that I know will do debt financing. The minimum loan size is typically $5,000,###-###-#### to 7 year repayment and debt service ratio of at least 1.5 on a historical basis. LTV is typically at 70 to 80%. The ones I know are mission based and cater to minority groups.

2 months ago | like reply | 0 likes

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