Thanks for the question! You do not need to have a W2 job, but you do need to have enough liquidity to make the transaction happen. Typically, you need 12-15% of the project total. This is because you'll usually need to put 10% down and then have some post-close liquidity left over. It is possible to use a seller note towards your cash injection, usually up to 5%. With that structure, you would only need to put 5% down, so the liquidity requirement is flexible depending on the deal. You can also use retirement funds towards your SBA cash injection with certain restrictions. Let me know if you have other questions!
Hi , do you need a w2 job already to qualify for an sba loan?
Thanks for the question! You do not need to have a W2 job, but you do need to have enough liquidity to make the transaction happen. Typically, you need 12-15% of the project total.
This is because you'll usually need to put 10% down and then have some post-close liquidity left over. It is possible to use a seller note towards your cash injection, usually up to 5%. With that structure, you would only need to put 5% down, so the liquidity requirement is flexible depending on the deal.
You can also use retirement funds towards your SBA cash injection with certain restrictions.
Let me know if you have other questions!
Thank you for the info! Do you do SBA Loans in all states or just certain ones?