Acquisition & Perpetuation Funding

Acquisition Funding

Perpetuation Funding works with professional service related industries such as Accountants, Insurance Agencies, Medical, Dental and Veterinarian Practices in funding the Acquisition, Perpetuation and Capitalization of these businesses.  As the larger age segment of our population (baby boomers) averages 60 years old, many owners are looking to sell their businesses to inside management or outside interests.  The issues facing these businesses is that there are no real hard assets other than clientele and good will.

Perpetuation Funding coupled with the underwriting of Springtree Group created a platform of lenders that cater to the various financial circumstances of buyers.  Sellers are traditionally in their 60's and 70's while buyers are in the 30's, 40's and 50's.  Many younger buyers do not have the means to pay cash and are looking for options to finance the transaction. 

Perpetuation Funding specializes in Acquisition and Perpetuation transactions for these businesses ranging from $250,000 - $10,000,000, including working capital LOC.  Buyers are required to put down 5-10% while sellers finance 10-15% of the loan to insure the cooperation of both parties.  The remainder is financed over a 10 year period unless the building is included where the term can be extended for 25 years.

Perpetuation Funding can also finance smaller Capitalization needs from $25,000 - $250,000.  Terms range from 5-10 year amortization on Acquisition and Perpetuation loans to 1-2 year short term Capitalization loans.  While there is no requirement for down payment on our short term capitalization loans, we do require buyers and sellers to have "skin in the game" for the longer term loans. 

Some of the businesses we work with regularly utilize our commission advance program.  These are perfect for the Insurance Agent with a new practice who is trying to grow the business and avoid long term debt.  Our Medical, Dental and Veterinarian practices also see the advantage of these short term loans while waiting for insurance payments, which can take up to 90 days. 

For more information, please contact Bill Friend or Sam Patterson.

Bill Friend
(866) 374-3630
bfriend@perpetuationfunding.com

Sam Patterson
(972) 395-8811
spatterson@perpetuationfunding.com