Buyer representation
Buy a business in Central California
Buying cash flow beats building it from zero — if you buy the right business at a price a lender will finance. Here is how we help buyers get there without overpaying or inheriting somebody else's problem.
The acquisition process
- Define the target. Industry, earnings range, location, capital available and what role you actually want in the business.
- Get financing-ready. Pre-qualification with an SBA lender before you make offers. Sellers take pre-qualified buyers seriously and everyone else politely.
- Search. Listed opportunities plus direct outreach to owners who have not gone to market.
- Underwrite. Recast the earnings yourself, test debt-service coverage, and price the risk you are being asked to carry.
- Offer and structure. Price, asset allocation, seller note, working capital, training period, non-compete and any earn-out.
- Diligence and close. Financial verification, lease assignment, licences, staff, contracts, then lender and escrow through closing.
Financing an acquisition
Most acquisitions in this size range use SBA 7(a) financing: ten-year amortisation, no balloon, and a down payment far smaller than conventional lending requires. The lender underwrites the business's cash flow, so the business has to genuinely cover the debt with room left over.
Our funding page includes a calculator that shows monthly payment, debt-service coverage and the maximum price the cash flow supports.
What to check before you fall in love
- Bank deposits reconciled to tax returns
- Customer concentration and contract terms
- Genuine reason for selling
- Staff tenure and key-person risk
- Lease term and assignability
- Licences and permits transferability
- Deferred maintenance on equipment
- How much revenue follows the owner out
Frequently asked questions
- How much money do I need to buy a business?
- With SBA 7(a) acquisition financing, buyers commonly bring 10% to 20% of the purchase price plus closing costs and working capital. Sellers sometimes carry a note that counts toward the equity requirement.
- How long does it take to buy a business?
- From accepted offer to closing is typically 60 to 120 days when a lender is involved. The search itself often takes longer than the transaction.
- What should I look at first in diligence?
- Bank statements against tax returns, customer concentration, why the owner is selling, staff tenure, lease assignability, licences, and how much of the revenue depends on the owner's personal relationships.
- Is it better to buy a business or start one?
- Buying starts you with revenue, customers, staff and cash flow that can service acquisition debt. Starting gives you full control and no purchase price. Most people who need income from day one buy.