TIME
IS MONEY
CASH
received TODAY
is worth more than cash received tomorrow!
Eldorado
Capital Resources provides a variety of funding strategies for the
privately held business note.
Unlike a real estate mortgage note, a business note
is usually secured by the business itself (rather than real estate) and all
the inventory, equipment and assets owned by the business.
We typically work with clients who have sold a
business, received a substantial down payment and carried back a loan in the
form of a business note, secured by the business and usually personally
guaranteed by the payor, and who are receiving regular monthly payments on
the loan. Depending on a
variety of factors — rate, term, note structure, pay history, number of
payments made, current credit situation of business and payor — we have
access to funding sources who will pay CASH
for the FULL or
PARTIAL purchase
of your note. There are only
three major investors/note buyers nationwide that buy business notes to keep
for their own portfolios, and they consistently pay the highest prices for
the notes they purchase. We work directly with all three and our job is to
negotiate with these sources to get the best possible deal for your note!
While we can review any note for
possible purchase, the ideal note, from an investor's point of view, and a
note that will bring the highest purchase price, will be structured as
follows:
 |
20-30%+ Down Payment |
|
|
11-14% Interest Rate |
|
|
Maximum of 60 Month Term |
|
|
Minimum of 3 Months Seasoning
(i.e., at least 3 payments received |
|
|
Well Secured |
|
|
Personally
Guaranteed |
Larger down payments can compensate for less
seasoning, and more seasoning can compensate for smaller down payments.
Don't hesitate to let us review your note, regardless of the structure.
If you are a business note holder, or
a business broker, our unique services and funding sources can help you cash
out of an old deal and get you to the closing table faster with new deals!
In some cases, with a substantial down payment, we can even do a
semi-simultaneous close and buy the note 30 days after closing.
Other than gathering and sending the
required paperwork, the note seller usually has
no upfront fees or closing costs
of any kind. The note buyer will normally pay all fees and costs associated
with the deal. To get started,
there are only a few things we need to know, and most of the details and
information should be readily available to you. Simply FAX us a copy of the
Note, copy of the Bill of Sale and the Closing Statement, and we will go to
work. If you let us know exactly how much
$$$
you need to raise, we can structure the purchase so you only have to sell as
few of the monthly payments as possible to get you the money you need. We
will always advise our clients to never sell more payments than they have
to. No need to leave money on the table — you can always sell more later!
Any and all information you submit
will be held in the strictest of confidence and, of course, you are under no
obligation to accept any offer we make. With the requested
information, we should be able to give you a firm quote, subject to document
review and due diligence, within 24-48 hours.
We look forward to
working with you! |
