Equity requirement - business + real estate

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May 06, 2026

by a searcher from Missouri State University in Nashville, TN, USA

I'm looking at buying a business and its underlying real estate. My plan for the equity injection requirement was to bring 5% cash to the table and have the seller carry a 5% note on full standby for the life of the loan. However, I had a lender tell me that this isn't possible when a business and real estate are combined in the same loan, which is news to me. Can anyone else opine on this?
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from Massachusetts Institute of Technology in Portland, OR, USA
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