http://biz-value.net/ BizValue - Blog RSS Feed 2.0 en-us Sun, 05 Apr 2026 03:34:27 GMT Sun, 05 Apr 2026 03:34:27 GMT http://biz-value.net/blog/16053/Basics-of-SBA-Financing-for-a-Business-Acquisition blog What is an SBA loan? Most business acquisitions are funded through Small Business Administration (SBA) loans. The SBA doesn't actually loan the money—loans go through banks and are guaranteed by the SBA, which establishes guidelines to simplify the qualification process and reduce lender risk. Choosing the Right Banker While your existing bank relationship matters, the individual banker is more critical. Business acquisitions have unique complexities that require an experienced professional. Use a bank certified in the SBA's Preferred Lender Program (PLP) for streamlined approvals. Research and get referrals for bankers with a proven track record of closing deals—they'll have deep SBA knowledge and strong internal relationships to avoid the 30-90 day delays common with less experienced bankers. SBA Loan Types SBA 7(a) Loan: Versatile financing for working capital, equipment, real estate, or business acquisitions. SBA 504 Loan: Specifically for major fixed assets like real estate or equipment. Key Requirements for Both Credit Score: Mid-to-high 600s or higher (lender-specific) Equity Injection: 10-20% of total project cost Business Plan: Detailed use of funds and repayment strategy Financial History: Personal and business financial statements Management Experience: Demonstrated ability to run the business Note: The SBA doesn't set minimum credit scores, but lenders do—check with your lender for their requirements. Loan Comparision   SBA 7(a) SBA 504 Uses Business acquisition, equipment, working capital, real estate Real estate/land acquisition, construction, equipment Amount Up to $5 million 50% lender + 40% CDC (max $5M) + 10% borrower Terms Up to 10 years (working capital/equipment) Up to 25 years (real estate) Up to 10 years (equipment) Up to 25 years (real estate) Eligibility Operating U.S. business, for-profit, meets SBA size standards, creditworthy    For-profit U.S. business, net worth Operating U.S. business, for-profit, meets SBA size standards, creditworthy    For-profit U.S. business, net worth How to Apply Assess Your Needs: Review your financials, credit status, and determine how much you need and how you'll repay it. Choose the Right Loan Type: Match your funding purpose (acquisition, equipment, real estate, working capital) to the appropriate SBA loan. Select a Lender: Find a Preferred Lender Program (PLP) bank with experienced bankers who have a track record of closing deals. Gather Documentation: Work with your banker to compile required financial statements, business plans, and supporting documents. Submit Application: Your business relationship manager will guide you through the final submission process. The key to success is preparation and choosing an experienced banker who can navigate the process efficiently. Mon, 08 Dec 2025 06:00:00 GMT http://biz-value.net/blog/16053/Basics-of-SBA-Financing-for-a-Business-Acquisition http://biz-value.net/userfiles/2182/blogs/hero%5Fblog15901%5F20251023%5F165526%2Ejpg http://biz-value.net/ http://biz-value.net/blog/15901/Hair-Tips-for-the-Holidays blog Hair Tips for the Holidays The holidays are packed with events, family gatherings, and a flurry of parties. It's fun, but let's be honest—between the cold, endless styling, and packed calendars, your hair can take a beating. Whether you're headed to a quiet dinner or a big New Year's bash, it helps to keep your hair looking and feeling good. Here are some no-nonsense tips that'll help you keep your hair in shape through the season. 1. Prioritize Moisture Dry air from the weather and indoor heat can make hair feel rough and tired. Swap in a hydrating shampoo and conditioner, and try a weekly deep conditioning mask. This helps ward off breakage, frizz, and those pesky split ends. Healthy moisture keeps your hair stronger and less likely to lose its shine. 2. Limit Heat Styling Tempted to reach for the curling iron at every invite? Happens to everyone. But too much heat isn't your friend. Save hot tools for big moments, and use a heat protectant when you do. Looking for options? There are plenty of festive no-heat styles that look just as good, if not better. 3. Accessorize for Effortless Glam Don't want to fuss with your hair all night? Toss in a sparkly pin, a headband, or a clip, and you're done. Hair accessories can instantly dress up your look with zero effort—just be sure to choose those that won't snag or pull. 4. Schedule a Trim Year's end is a smart time for a trim. Fresh cuts clear out split ends and get your hair back on track. Thinking about switching things up? Your stylist can offer some ideas for a festive update. 5. Protect Your Hair from the Elements Wind, snow, and even drizzle can rough up hair fast. A hat or scarf gives your strands a break outdoors. Worried about flat hair after? Go for loose styles under your hat and try a light leave-in conditioner to keep things smooth. 6. Prep for Party-Ready Hair Cleanse Wisely: Skip daily washes. Your hair's natural oils do more good than you think. Dry shampoo can freshen things up when needed. Use Quality Products: Salon-grade products can make a difference. Check out Pro Salon Concepts for professional picks that keep your hair looking sharp. Set Your Style: A flexible hold hairspray will keep your look in place without making it stiff or crunchy. 7. Nourish from the Inside Out What you eat shows in your hair. Drink water, and work in foods like leafy greens, nuts, and fish. These simple choices help your hair stay strong and shiny. Conclusion With these straightforward tips, your hair can hold up through all the holiday bustle. Just a bit of extra care goes far. Want more advice or products? Take a look at prosalonconcepts.com. Fri, 24 Oct 2025 03:00:00 GMT http://biz-value.net/blog/15901/Hair-Tips-for-the-Holidays http://biz-value.net/blog/15811/What-is-SDE-and-why-is-it-important- blog Seller's Discretionary Earnings (SDE) is a measure of cash flow for a business.  It is used as a basis for valuations and to identify business opportunities within ranges for buyers. Components of SDE We start with the net income before taxes. Add-backs Interest expense Depreciation expense One owner's salary Some owners' expenses run through the company.  Some examples may be life insurance paid by the company for the owner, auto expenses (if this is not necessary in the operations of the business), other identifiable expenses that would not be required by the buyer.  This becomes a murky area.  The main criteria is if the buyer's bank would allow the adjustments, or not. e.    Unusual, one-time expenses. An example might be the deductible paid by the business for flood damage. Negative add-backs (deductions) Rent adjustments.  This often applies when the seller owns the property.  A positive or negative adjustment is applied for the variance in the amount paid and the fair market rent. Salary adjustment.  If there are two owners, you are only allowed to add-back one salary.  Say the second owner draws a salary of $20,000 and does the books.  We further assume it would cost $50,000 a year to replace them.  So, we would do a deduction of $30,000 for a replacement for Owner #2.   Other adjustments may apply such as a deduction for the gain on sale of an asset.  This would typically not be a part of the normal operations of the business, so it would be deducted.   The net income before taxes, plus or minus the adjustments, equals the Seller's Discretionary Earnings (SDE). Buyer's Perspective SDE is the amount that is available to:     Cover debt payments     Pay yourself a salary     Provide a reasonable financial return for taking on the risk of owning the business Seller's Perspective SDE is the amount of cash flow that is applied to a multiple to calculate the value of the company.  It is in the seller's interest to have the most SDE possible.  However, the add-backs need to be limited to only those that would be allowed by a bank. Banker's Perspective Ultimately, the acquisition will be funded by a bank.  SDE is calculated separately by the bank's underwriting department.  It is used in their calculations to see if there is sufficient cash-flow by which to service the debt.  This calculation is called the Debt Service Coverage Ration (DSCR).  And it is used in their independent valuation process. Accurate SDE calculations are critical for successful business sales.  SDE's that are inflated with invalid add-backs, lead to unrealistic valuation expectations for sellers, resulting in extended negotiations, or deal failures.  Accurate ones lead to quicker sales and better outcomes for both the sellers and the buyers.   Mon, 13 Oct 2025 06:00:00 GMT http://biz-value.net/blog/15811/What-is-SDE-and-why-is-it-important-