I'm in pre-LOI discussions with a business that has ~$1.4M revenue and ~$550k EBITDA (~40% margins). However, the business is only a few years old and has grown solely through the acquisition of its first and second customers.

The customers are under contract but they only need to provide 30 days notice to discontinue service.

Other than the customer concentration, it's a growing business that is leading the development of a niche B2B services industry. Seller wants a reasonable multiple (<5x EBITDA) but I'm struggling to get comfortable with a personally guaranteed loan and no seller financing available.

Any ideas? Willing to include anyone who has a creative solution in the deal as a minority partner.