Healthy DSCR for a Business acquisition today

searcher profile

February 10, 2025

by a searcher in Lawrence, NY, USA

Hi

Does anyone have any guidance on what type of DSCR in todays environment is achievable and what you should try and target in the construction services and manufacturing category up to a $5M purchase price?


2
18
162
Replies
18
commentor profile
Reply by a lender
in Ponte Vedra Beach, FL 32082, USA
^redacted‌ I would be happy to have a conversation in what I am looking for with The Bancorp when underwriting an acquisition in regards to DSC. We need a minimum of 1.15x for at least the last two full years, with tax return support. We do look for more than just the DSC in overall underwriting, happy to hop on a call and discuss in detail. My cell is###-###-#### , my email is redacted or please feel comfortable scheduling directly via my Calendly link below, https://calendly.com/bturner-thebancorp/45min
commentor profile
Reply by a searcher
from The Johns Hopkins University in Houston, TX, USA
^redacted‌'s recent webinar hosted by Acquiring Minds included a great slide showing how a given DSCR (along with other factors) influences the number of SBA lenders who would consider funding a deal, and at what rates they'd be willing to lend.
https://acquiringminds.co/webinars/5-stages-of-the-business-buying-process
commentor profile
+16 more replies.
Join the discussion