What Is an SBA 7(a) Business Acquisition Loan?
An SBA 7(a) business acquisition loan is a government-backed financing option designed to help entrepreneurs purchase an existing business rather than start one from scratch. Backed by the U.S. Small Business Administration, this loan type offers lower down payments, longer repayment terms (often up to 10 years), and more flexible qualification requirements than conventional business loans. It can be used to cover the purchase price, working capital, equipment, and even goodwill in an acquisition deal.
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