Recently saw a business for sale where the owner is willing to carry up to a 50% note, but would not accept an SBA loan for any portion of the purchase. And this is a hard sticking point....

Being that I've never actually closed a deal, I'm hoping someone with SBA experience on the buyer/seller side can help me figure out what is the sellers motivation here. Is it to avoid a lengthy closing? Does he want an annuity from the sale? Is this typically a red flag?

I'm early in my underwriting days and just trying to understand the big picture here, so any thoughts or musings are welcome.

What are some creative ways to either make a cash offer, delay financing, or structure something more palatable with the seller to get past this?