Small Business Spotlight
IT company partner buyout with no money down
When business partners part ways, financing should not only honor their accomplishments but set them on a path to near-term growth.Â
Loan Amount
$1,440,000
Loan Purpose
The Small Business
![Sanapptx partner buyout](https://readycapital.com/wp-content/uploads/2023/02/sanapptx-spotlight-deal-brand.png)
Sanapptx
Plano,TX
The Financing Challenge
When it was time for his partner to retire, the co-owner of a Plano, Texas-based IT company came to Ready Capital. He had goals for growth, and he’d been through a partner buyout before. But transitioning to the next chapter from a place of strength hinged on reaching the right loan terms.
Loan Scenario
Here's what our borrowers brought to Ready Capital
![dollar, dollar bill, banknotes-943737.jpg](https://readycapital.com/wp-content/uploads/2023/02/dollar-dollar-bill-banknotes-943737-768x576.jpg)
Collateral shortfall
Shortfall since much of an IT company’s product is in the cloud
![algebra, analyse, architect-1238600.jpg](https://readycapital.com/wp-content/uploads/2023/02/algebra-analyse-architect-1238600-768x512.jpg)
Valuation complications
Unexpected issues with business valuation
![cloud, internet, network-3865312.jpg](https://readycapital.com/wp-content/uploads/2023/02/cloud-internet-network-3865312-768x768.jpg)
Debt
Debt in need of refinancing
CREATIVE SOLUTION
Ready Capital was able to focus the story of the loan on the borrower’s strengths: a healthy number of contracts and proof of their in-place expansion.
Reliable Results
- Locked in $1,440,000 of SBA 7(a) financing to cover the partner buyout including a refinance of existing debt, and $490,000 in equipment and working capital.
- Owner was able to achieve 100% ownership without putting any money down.
- Owner now has a clear vision and runway to achieve his growth goals for the company.
- Ready Capital was able to offer a competitive referral fee.
The Non-Bank SBA Preferred Lending Partner Difference
A small business loan is not an empty box like a checking or savings account. No two small businesses are alike when it comes to their financing needs. This means that small business financing requires out-of-the- box thinking and capabilities many banks simply don’t offer.
Ready Capital is a non-bank, SBA preferred lending partner (PLP). We speak fluent small business and have the process in place to help them reach their goals the first time.