Non-SBA lenders?

August 07, 2023

by a searcher from Harvard University - Harvard Business School in New York, NY, USA

I'm curious to speak to some non-SBA lenders who are familiar with search funds.

I've heard that SBA loans are going to be the best terms you can get, if a deal qualifies and with the tradeoff of the personal guarantee. However, since I'm targeting software, I'm seeing a decent number of appealing listings which have strong/consistent cash flow, but are ineligible for an SBA loan because they're based outside the US.

Any recs for lenders to speak to would be appreciated!

Reply by a lender
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA

It may be hard to find a good lender even a non-bank lender, to buy foreign businesses. It can get very complicated from a legal perspective as the laws are different in most countries and we typically do not find many lenders that work in the US and also work internationally unless you have a really large transaction. If you are looking at deal sizes that would more fit into the SBA world, just to be honest, it is going to be hard to find a lender that will do a deal that size internationally.

Reply by an intermediary
from University of Pennsylvania in Durham, NC, USA

I agree with Brad's comments. However, it might help if you shared more info. In what country is the company based? Where are the employees and customers based? What is the size of the business?

+3 more replies.

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