“The debt on it was about 90%… we’ve done expansion loans… now we’re at the cap of the SBA program and use a commercial real estate loan”

Acquiring Minds · Side Hustle Acquisition to $5m in Revenue

Play from 19:07
19:07

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What was described

used an SBA 7(a) loan for 90% leverage on the acquisition, later added expansion loans and a commercial real-estate loan when SBA capacity was maxed out

90% loan on initial purchase; later commercial real-estate loan (amount not disclosed)

Said nearby on the same subject

“We use $200,000 to pay down the home loan… then we take out a $200,000 loan and use that to invest… that $200,000 loan becomes tax deductible”
AG
Aidan Gullman
Financial Autonomy ·
Why it worked $200,000 Share this moment
“You still can hold commercial property within your SMSF and attach an LRBA. So what that means is essentially the SMSFs can still get a loan to purchase a commercial real estate asset within that fund.”
♫
Said on Business Essentials
Why it worked Share this moment
“They can help unlock up to $3 million of conventional debt on top of the $5 million limit of SBA 7A loans.”
♫
Said on Acquiring Minds
Business model $3 M extra debt; $5 M SBA limit Share this moment
“Over 70% of the loans that we will originate this year will be loans that we characterize as off-market or preferentially sourced loans with those borrowers.”
IC
Invesco Real Estate Credit
Capital Allocators - Inside the Institutional Investment Industry ·
Why it worked over 70% Share this moment

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