Welcome to KR Brokers resources and articles section on business financing. Please click on the title to read each article in its entirety. We hope these articles will assist and educate you with the business buying and selling process. Return to main articles page.
Financing the Business Purchase
Because of the abundance of corporate downsizing in the U.S. owning a business is more attractive than ever before. As increasing numbers of prospective buyers embark on the process of becoming independent business owners, many of them voice a common concern: how do I finance the acquisition?
Seller Financing: Pros and Cons
When considering the sale of a business, an important option to ponder is seller financing. Many of the potential buyers do not have the necessary capital or lender resources to pay cash for the business. Often, even if they do, they are reluctant to put such a hefty sum of cash into what, for them, is a new and untried venture.
Financing a Franchise, a Case Study
If you think franchisees have it tough these days, think back to 1979, when Deena Yaris opened her first storefront franchise, a beauty salon called Lafemmina, in New Hyde Park, New York. The Federal Reserve's basic interest rate had doubled in a matter of months to 14 percent, and there was no ceiling in sight. Any new business would have to be hugely successful just to meet loan payments on start-up capital, let alone generate income for its owner.