I want to buy a laundry mat business that is for sale for 59k is there a way to get a bank  loan or  way to finance it ?

 I want to buy a laundry mat business that is for sale for 59k is there a way to get a bank loan or way to finance it ? I have never owed a business, but I am highly interested in this opportunity. 

Update:

I have a down payment but I need a little direction. The owner called me back but I told him I was currently working and that I'd pay him back. I did't know really what to say to the owner since I've never bought or run a business. I have a lot of learning and reading to do but I think that I can get some advice from real people n here maybe so that's why I posted the question .

5 Answers

Relevance
  • Robert
    Lv 7
    1 month ago

    First you want to go thorough the books to see how well it does and what it actually makes.  Then you need to consider rent, bills, condition of the equipment and how much repair may be necessary to it.  And then you have to to honestly evaluate if you can do that work yourself and if not how much a plumber will cost.  And then you have to write all of that up as a business plan and show the bank exactly how you will make enough to support the business, you, and service the loan.  Once you do that the bank will consider giving you the money to buy the business.

  • Anonymous
    1 month ago

    It depends on your personal credit and how much Cash you have in the bank.You might need a 700 credit score or higher to even qualify.but due to the bank&economic crisis I don’t know if they are giving out loans at the moment for anything and I personally wouldn’t borrow money until I know for sure how the economy is going to go.

  • Eva
    Lv 7
    1 month ago

    You would have to have a significant amount down, about 20%.  The bank would want to see at least the last 2 years of tax returns to show that the business made a profit and would generate enough to make the loan payments. Your personal credit has to be good or excellent. You may be able to obtain a loan that is guaranteed by the SBA which makes the bank more likely to loan to you, but again the SBA wants to see that you have a significant investment of your own in the business.  The other way to do it is to have the seller finance it.

  • Judy
    Lv 7
    1 month ago

    If you have around $20K of your own money to invest, a bank might lend you th rest.

  • What do you think of the answers? You can sign in to give your opinion on the answer.
  • 1 month ago

    Apply to your bank.  It is up to them, not us.

Still have questions? Get answers by asking now.