USDA funding for business acquisitions?

searcher profile

September 24, 2022

by a searcher from Pepperdine University - Graziadio School of Business and Management in Boise, ID, USA

We are close to maxing out our $5mm SBA financing and came across a business that is located in a USDA designated rural area (population <50,###-###-#### Are there any USDA lenders here who can give guidance on using USDA funding for business acquisition? Any major requirements and/or limitations?


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commentor profile
Reply by a lender
from California State University, Sacramento in Seattle, WA, USA
Live Oak is the nation's #1 USDA lender. Per Kyle above, the USDA requires the project to be fully secured. So it's a fixed asset/real estate program more closely related to the 504 program. USDA isn't really designed for asset lite business acquisition.
commentor profile
Reply by a lender
from Fordham University in Fort Myers, FL, USA
Terrence, for USDA we need collateral. What is the total cost, total real estate and equipment value? Reply to: redacted
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