Pre-LOI SBA Loan pre-approval

by a searcher from Harvard University

8 months ago

I talked to a couple brokers who mentioned that sellers would be more interested in talking if I were to get an SBA loan pre-approval. 
i.e they had other buyers who have all cash offers. 

That triggered a few questions:
1- Is this true/a trend? One was for an accounting firm deal, the other for a manufacturing deal.
2- If it is true, how does one go about getting a loan pre-approval from a lender without a deal on the table?

4 likes
313 views
32 comments

searcher from The University of Chicago - Booth School of Business

its a buyer pre-qualification based on your current financial situation

7 months ago | like reply | 0 likes

intermediary from Creighton University

To recap the above comments: While true pre-approvals don't exist for SBA loans since underwriting hinges on the specific buyer and business being acquired, many lenders provide pre-qualification letters indicating a buyer's general eligibility based on their finances and experience. Essentially, the letters enhance a buyer's standing early in the search process before an acquisition target is identified.

At Dealwise, this is what we specialize in - we connect searchers to SBA 7a lenders for pre-qualification and financing. If you're interested, please reach out! [https://calendly.com/dealwise/dealwise-beacon-onboarding-1]

8 months ago | like reply | 1 like

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