Business Acquisition Calculator
Plan your business purchase with SBA loan financing. See monthly payments, cash flow impact, and whether the deal makes financial sense.
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Business Details
$
$
$
$
SDE = Net Income + Owner Salary = $160,000
SBA Loan Details
10% ($50,000)
SBA 7(a) loans typically require 10-20% down
10.5%
SBA rates: Prime + 2.25-2.75% (currently ~10-11%)
3% ($13,500)
Additional Costs
$
$
Monthly Loan Payment
$6,254.24
Total cash needed at closing: $90,000
Debt Service Coverage Ratio (DSCR)
Banks typically require 1.25x or higher for approval
2.13x
Strong
Deal Summary
Loan Amount
$463,500
incl. $13,500 SBA fee
Total Interest Paid
$287,008
Annual Debt Service
$75,051
SDE (Earnings)
$160,000
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Cash Flow Analysis
Annual Cash Flow (after debt)
$84,949
Monthly Cash Flow
$7,079.10
Breakeven (payback period)
2 years (13 mo)
Cash-on-Cash ROI
177.8%
Valuation Check
Revenue Multiple
1.25x
Typical: 0.5-2.0x for small businesses
SDE Multiple
3.13x
Typical: 2-4x for small businesses
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