73% of small business acquisitions involve third-party financing. If you're buying an existing business in Eugene, acquisition financing bridges the gap between your down payment and the seller's asking price.
Business acquisition loans finance the purchase of an existing company, including its assets, customer lists, lease assignments, and goodwill. These loans typically fund 70-90% of the purchase price, depending on the lender's collateral requirements and your equity injection. Acquisition financing lenders evaluate both the target company's historical cash flow and your management experience. Common structures include SBA 7(a) loans for Main Street businesses, conventional term loans for larger deals, and seller carryback notes that reduce upfront capital needs. Myrtle Advances reviews your letter of intent, tax returns for the target business, and personal financials to identify the best business acquisition loans for your transaction.
Lenders underwrite both you and the business you're buying. Most small business acquisition financing programs require a personal credit score above 680, industry experience or transferable management skills, and a down payment of 10-20%. The target company must show consistent revenue, ideally two years of positive EBITDA, and a lease or real estate interest that survives the ownership change. If you're acquiring a food cart commissary near River Road or a machine shop in Glenwood, lenders scrutinize customer concentration and supplier contracts. Myrtle Advances walks buyers through pre-qualification before you submit offers, so you negotiate from a position of documented financing capacity.
How it works
Start by scheduling a consultation at our office at 911 Country Club Rd, Eugene, OR 97401, or call (541) 454-9689. Bring your purchase agreement, three years of tax returns for the target business, and a transition plan. We compare acquisition loan for business options across our lender network, including SBA-preferred banks and alternative acquisition financing lenders. For time-sensitive closings common in Eugene's competitive market (especially retail businesses near the university district), we explore bridge loan for business acquisition structures that lock rate and convert to permanent financing post-close. Our commercial business loans in Eugene process typically moves from application to term sheet within two weeks, and we coordinate with your attorney and CPA to keep the transaction on schedule.
Scenario: A buyer targets a 15-year-old HVAC contractor in Thurston with $800,000 in trailing revenue. The seller asks $600,000. The buyer contributes $120,000, secures a $420,000 SBA 7(a) loan, and negotiates a $60,000 seller note at five years. The SBA loan amortizes over ten years, and the seller note subordinates to the senior lien. Myrtle Advances brokered the SBA relationship and structured the seller carryback to satisfy both parties' tax and risk preferences.
Franchise acquisition financing follows a similar path but benefits from franchisor-approved lender lists and standardized underwriting. If you're buying into a national brand opening in Coburg or Goshen, we connect you with lenders experienced in franchise models. Learn more about our SBA loans and working capital solutions, or review our full service areas.
Serving the Eugene area
We know which lenders fund which kinds of Eugene businesses, and we position your file where it fits.
One local broker, many lenders, and no cost to apply.
Common questions
Talk to a local advisor and get matched to the right program, no obligation.
