A dental practice acquisition with a bright future
Going it alone wasn’t the original plan for a partner in this Texas orthodontics practice. Luckily, Ready Capital was there for the assist.
The Financing Challenge
A doctor was primed to take a significant step forward in her career: to take on 100% ownership of the established orthodontic partnership she’d been a founding member of in Frisco, TX. But going it alone wasn’t her original intent, and the restructuring process created a complex web of interdependencies she hadn’t seen coming.
SBA 7(a) Loan Scenario
Here's what our borrower brought to Ready Capital
Unplanned partner buyout
The original three partners had planned to grow the practice together, but the other two doctors were largely inactive and decided to exit the practice.
SBA loan in play and newer practice
The borrower had an existing SBA loan which she needed cash to settle up on, and her ownership of the practice was still relatively new (less than two years).
Misfit office and seller delays
The space and equipment the borrower was left with were intended for the three-doctor practice, so she aimed to sell and start fresh in her own office space. And though she had an agreement to swap space with a fellow doctor, there were delays on the seller’s end.
With a steady hand and diligent follow-up, Ready Capital was able to orchestrate all the moving parts: BDO and team were able to secure the loan with the borrower’s real estate investments. They coordinated the simultaneous sale of the borrower's existing office building, the repayment of her existing SBA loan, as well as the purchase of her new office space, freeing up the cash she needed to complete the partner buyout.
The Non-Bank SBA Preferred Lender 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 can’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.