Purchasing family business?
I am needing to purchase my Grandmothers business, I have 10% down and am trying to find the best way to get a loan. I have not had much luck with the few banks I have gone to, I can’t get get a personal loan if it is to purchase a business, and they won’t do a small business loan unless I have had a business account with them for 3 years. I do not have a business account because I don’t have a business yet. My grandmother thought maybe we could just do a bill of sale and write up a note that I would pay her so much per month, but we are not sure of the legal matters involved in that. Any suggestions?
What a gift that your Grandmother is willing to pass on her business and even help you finance it.
Your best option may be to find a real estate attorney who can write up the contract with owner financing, since your grandmother is willing to let you make payments. Other sources to consider for down payment might be your existing 401k, which could be rolled over to help purchase the business. Here are some articles that you may find helpful.
Laura, Staff Writer