Sellers Notes

by a searcher from The University of Michigan - Stephen M. Ross School of Business

1 year ago

Hello All,

Does anyone have recent experience or good data on what market terms  are for sellers notes in the retail sector? Are personal guarantees required? The note being contemplated is ~ 1.0x SDE. Many thanks!

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searcher from University of Virginia-Darden - Darden School of Business

Similar question - does anyone have a security agreement they used for a seller note? Curious what terms would go in these documents vs a bank loan security agreement. --@----.com if you are willing to assist

1 year ago | like reply | 0 likes

searcher from The University of Chicago - Booth School of Business

Agree that all terms on the seller note are very negotiable. Anecdotally, buyers seem more focused on a seller note's terms than sellers. I also agree that it's common for a seller (or seller's attorney) to ask for a PG on an SBA deal.

1 year ago | like reply | 1 like

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