Hi all,
I'm considering purchasing a small business. The asking price is $250K and the company generated $255K in revenue last year and $175K in earnings, which represents a 40% growth YoY. I've done my research on the industry & business risks and I think this is a fair price.
But I don't have access to that kind of cash, so I'm looking into my financing options. My least desirable option is to take out a bank loan and pay high interest. The seller is available to finance part of it, but I'll still need to come up with probably $100K to pay initially. I don't have friends & family available for low-interest loans at the moment. Has anyone experimented with Rollovers as Business Startups (ROBS)? If it's not too expensive, I have available funds in my 401K that I would love to use as part of the acquisition.
Appreciate any advice!