my articles | learn more about DirectoryM articles | contact us | advertise with us   
 
SEARCH:
Quick Search Results

Searching...

ABOUT US | VIEW ALL FEATURED ARTICLES | VIEW ALL TOPICS | VIEW ALL REGIONS | DM MOBILE | DM BLOG

Business Purchase Alabama

For the serious businessman or businesswoman, though - the entrepreneur in the truest form of the word - some little side business isn't going to be enough. You're going to have to run a full time, productive, legitimate business, and often the best way to do that is to buy one that's already proven itself in the business world. The only problem with business acquisition of this kind, of course, is that it requires business purchase financing - in other words, businesses are expensive and business financing is never easy.
1. Local Companies
2. An Overview of Business Financing
3. Personal Equity in Business Purchase Financing
4. Seller Equity in Business Purchase Financing
5. Featured Local Company

1. Local Companies

SMALL BUSINESS CLINIC OF AL
334-284-3640
PO box 231074
Montgomery, AL
AmeriValue
(866) 499-0922
Birmingham, AL
Charterbank
(706) 645-1391
91 River Rd
Valley, AL
First Federal of the South
(205) 755-3976
102 5th St N
Clanton, AL
Charterbank
(706) 645-1391
3500 20th Ave
Valley, AL
Gulf Federal Bank
(251) 433-2671
901 Spring Hill Ave
Mobile, AL
Pinnacle Bank
(205) 648-6091
Bryan Rd
Sumiton, AL
Cullman Savings Bank
(256) 734-1740
316 2nd Ave SW
Cullman, AL
New South Federal Savings Bank
(205) 344-9142
1500 Greensboro Ave
Tuscaloosa, AL
New South Federal Savings Bank
(205) 951-7043
Birmingham, AL


2. An Overview of Business Financing

The ideal solution, of course, would be to simply buy the business upfront with a wad of cash or a nice big check. The problem is that there are almost never ideal situations, especially if you’re a small business owner. Chances are you don’t have the cash on hand to afford to pay for the business you want to buy right up front – if you do, there’s you are one financial step ahead of many people looking to start a business.

Your only fallback option is business financing, which covers everything from bank loans to venture capital to seller equity, all of which we’ll be covering over the next few pages, so pay attention. Remember, this is just an overview piece, designed to give you a crucial first step on the road to financial success working under yourself as your own employer – if you really want to be successful in your new field and get the best possible deal on your business purchase financing, you’re going to have to do a whole lot of research on your own and, hopefully, get the best out of a varied and highly competitive market. Let’s start by looking at the basics.

3. Personal Equity in Business Purchase Financing

In any business acquisition of any size, personal equity will pay a vital role, so knowing what personal equity is in regard to business purchase financing is of course a vital first step in your new business acquisition. Personal equity is, simply put, the amount of money you can put up towards your new company yourself. As we said earlier, the ideal situation would be to simply pay for all of it – then you avoid the messy loans and paperwork that will follow the initial deal. As we also said earlier, there are almost no ideal situations, and you’re almost certainly going to need to get some other source of financing.

However, all of those other sources of financing are going to require you to take a fair bit of the burden – usually between 25% and 50% - on your own shoulders while they take some or all of the rest on theirs. It makes good business sense, as, after all, who would invest in a business where the person buying it isn’t willing to put in some money of his or her own? So you might as well take it for granted right up front – you’re definitely going to need a fair bit of money to buy your new business, especially if it’s a large one. Make sure you have some on hand and make sure you can afford to lose it in the event of a catastrophe.

4. Seller Equity in Business Purchase Financing

The second step which is a main one in many business acquisition deals is that of seller equity. This may seem a bit odd at first glance, but in reality is a very important factor to consider and, if you think about it, not all that different from so many other businesses. Seller equity is where the seller takes up a portion of the cost himself as a loan to the buyer in order to make it more certain that the deal goes through. The buyer than pays back the seller’s investment (at interest, of course) as the newly bought business begins to make money and produce profits for the new buyer.

If you think of this carefully, this is not a system unique to the world of business purchase financing. If you buy a car, for instance, or a large television set, you may get a “monthly payment” plan. If you think about it, that is exactly the same as the seller equity system in business financing; instead of a payment of cash to the seller, you give the seller a note of debt. That way you don’t have to pay everything right up front, and the seller makes more in the long run. Many loan companies may require seller equity as part of the deal, especially if you as the buyer can’t afford to front a large amount of buyer equity yourself.

5. Featured Local Company

AmeriValue

Call (866) 499-0922 to get a Business Cash Advance quote

(866) 499-0922
Birmingham, AL
Business Cash Advance

Call (866) 499-0922 to get a Business Cash Advance quote

Read more about Business Purchase

Regional Articles
- Business Purchase Alabaster AL
- Business Purchase Albertville AL
- Business Purchase Alexander City AL
- Business Purchase Andalusia AL
- Business Purchase Anniston AL
- Business Purchase Arab AL
- Business Purchase Athens AL
- Business Purchase Atmore AL
- Business Purchase Attalla AL
- Business Purchase Auburn AL
- Business Purchase Bay Minette AL
- Business Purchase Bessemer AL
- Business Purchase Birmingham AL
- Business Purchase Boaz AL
- Business Purchase Brewton AL
- Business Purchase Clanton AL
- Business Purchase Cullman AL
- Business Purchase Daphne AL
- Business Purchase Deatsville AL
- Business Purchase Decatur AL
- Business Purchase Dothan AL
- Business Purchase Eight Mile AL
- Business Purchase Enterprise AL
- Business Purchase Eufaula AL
- Business Purchase Fairfield AL
- Business Purchase Fairhope AL
- Business Purchase Fayette AL
- Business Purchase Florence AL
- Business Purchase Foley AL
- Business Purchase Fort Payne AL
- Business Purchase Gadsden AL
- Business Purchase Gardendale AL
- Business Purchase Grand Bay AL
- Business Purchase Greenville AL
- Business Purchase Guntersville AL
- Business Purchase Haleyville AL
- Business Purchase Hamilton AL
- Business Purchase Hanceville AL
- Business Purchase Hartselle AL
- Business Purchase Harvest AL
- Business Purchase Hazel Green AL
- Business Purchase Helena AL
- Business Purchase Huntsville AL
- Business Purchase Irvington AL
- Business Purchase Jacksonville AL
- Business Purchase Jasper AL
- Business Purchase Killen AL
- Business Purchase Lanett AL
- Business Purchase Leeds AL
- Business Purchase Madison AL
- Business Purchase Mc Calla AL
- Business Purchase Millbrook AL
- Business Purchase Mobile AL
- Business Purchase Monroeville AL
- Business Purchase Montevallo AL
- Business Purchase Montgomery AL
- Business Purchase Moulton AL
- Business Purchase Muscle Shoals AL
- Business Purchase Northport AL
- Business Purchase Oneonta AL
- Business Purchase Opelika AL
- Business Purchase Oxford AL
- Business Purchase Ozark AL
- Business Purchase Pelham AL
- Business Purchase Pell City AL
- Business Purchase Phenix City AL
- Business Purchase Piedmont AL
- Business Purchase Pinson AL
- Business Purchase Pleasant Grove AL
- Business Purchase Prattville AL
- Business Purchase Roanoke AL
- Business Purchase Robertsdale AL
- Business Purchase Russellville AL
- Business Purchase Saraland AL
- Business Purchase Scottsboro AL
- Business Purchase Selma AL
- Business Purchase Semmes AL
- Business Purchase Smiths Station AL
- Business Purchase Sylacauga AL
- Business Purchase Talladega AL
- Business Purchase Tallassee AL
- Business Purchase Theodore AL
- Business Purchase Troy AL
- Business Purchase Trussville AL
- Business Purchase Tuscaloosa AL
- Business Purchase Tuscumbia AL
- Business Purchase Tuskegee AL
- Business Purchase Valley AL
- Business Purchase Warrior AL
- Business Purchase Wetumpka AL
Related Local Events
Organizing and Managing Accounts Payable
Dates: 8/8/2008 - 8/8/2008
Location: Arthurs Conference Center
Birmingham AL
View Details
Commercial Real Estate Financing
Dates: 8/13/2008 - 8/13/2008
Location: Sheraton Birmingham Hotel/The Medical Forum Conference Center
North Birmingham AL
View Details
Income Tax Update
Dates: 9/18/2008 - 9/18/2008
Location: Holiday Inn Birmingham Airport
Birmingham AL
View Details
The Last Tax Returns of a Decedent
Dates: 9/19/2008 - 9/19/2008
Location: Holiday Inn Birmingham Airport
Birmingham AL
View Details
Sales and Use Tax Workshop 2008
Dates: 9/22/2008 - 9/22/2008
Location: One Nineteen Health and Wellness
Birmingham AL
View Details
Rate Article
     
Articles Insider
Rss   Delicious   Digg   Add To My Yahoo   Add To My Google   Bookmark   Search Plugin
Topics:
Advertising Educational Content Home Appliances Real Estate Resources
Business Services Entertainment Home Electronics Software
Career Family Home Services Technology
Cars Fashion Internet Telecommunications
Chamber of Commerce Financial Services Legal Trade Shows
Computer Hardware Franchise Miscellaneous Travel
Construction Health Nightlife Weddings
Education Holidays Online Database World History
Articles.DirectoryM.com | Search | About Us | Contact Us | Mobile | Blog | En Español
Copyright © Interaction Media Group. All rights reserved.