SMALL BUSINESS FINANCING:
The biggest challange for any convenience store buyer is to arrange a business loan.
Convenience store business purchase involves various additional expenses other than paying off the purchase price of the business. Purchase price of the business includes business assets and the good-will. Besides purchase price, buyer has to pay for the value of the inventory. There are various deposits also involved, like Lottery(OLG) deposit,Rent deposit with landlord usually first & last month’s rent in advance, security deposit, hydro deposit, hard cash to put in to the ATM machine, Canada Post deposit if the store has Canada post outlet and of course closing costs to the lawyer. On top of this, buyer has to keep some working capital to cope up with any planned or unplanned inventory purchases and accidental repair and maintenance expenses.
Most of the buyers do not have enough cash funds available to meet with the above listed expenses & deposits. Some buyers may have enough cash funds, but still prefer to get business loan ,if possible, so that they can enjoy smooth cash flow in the initial phase of the business takeover, and also the surplus funds can be used to invest for other necessary purposes or in another business investments.
Many people believe that it is not possible to get a business loan for a convenience store. That’s not true though. We have been successfully doing business loans & commercial mortgages or combination of both for convenience store buyers of up to 90% of the purchase price, whether buyer is buying business only or business & property together. Buyer must have a good credit, some industry experience and a strong personal net worth to qualify for the business loan
We deal with all major banks & financial institutions. We approach the most appropriate lender based on the information of the buyer and the business. All lenders do not have the same policy. We are Licensed Mortgage Broker and We are arranging business loans and commercial mortgages for our clients within Ontario and also in other provinces of Canada. We provide only quality business to the lenders and that’s why we have strong business relations with most lenders and we carry strong goodwill with them.
So, If you are buying convenience store business through us or not , you may always come to us for the help in securing business loans or commercial mortgages. Buyers enjoy special discounted fees if they are also buying business through us.