Business Brokers Hawaii - Seller Financing

Business Brokers Hawaii - We assist buyers anywhere in the world to buy businesses anywhere in the world.

Business Brokers Hawaii, Inc. • P.O. Box 1810, Kihei, Maui, Hawaii 96753 • Tel: 808-879-8833 • Fax: 808-879-5966

ADVANTAGES TO BUYERS	ADVANTAGES TO SELLERS
Even though you have excellent credit with banking institutions in your home city on the USA Mainland, or your own country's banks in your new home town - you are unknown. It generally takes two years to establish credit in Hawaii, or any new living area. . Banks with whom you are unknown will not extend credit to you without excellent "cash equivalent" collateral. The seller of the business you are buying generally will accept your "IOU" or Promissory Note upon presentation of a reasonable Net Worth Statement, and an acceptable down payment usually in the amount of 25%, 33%, or 50% of the selling price. 99% of sellers do! You will have the privilege of prepaying your Promissory Note, without penalty as soon as your business earnings are are sufficient. Within two years, most banks will lend you sufficient money to retire your Promissory Note as you demonstrate your businesses creditworthiness. That the seller of your business elects to accept your Promissory Note automatically helps to establish your good credit in your new home island. Even if you have sufficient money to pay all cash for your new business, it is often prudent to exercise financial leverage. You will often be well advised to place the least down payment possible. Interest charges on Seller accepted Promissory Notes are often quite a bit less than bank interest. Call the manager of Business Brokers Hawaii in Kauai, Maui, or the Big Island of Hawaii for more information or assistance in arranging for a seller accepted note.	When a buyer comes to Hawaii from the USA Mainland, or a foreign country, the buyer is unknown to local financial institutions - banks. Generally it takes two years to establish local creditworthiness. If the seller requests and receives a full year's income (cash flow) from the buyer, equal to 25%, 33%, or 50% of the purchase price, as a down payment and a Promissory Note for the balance of the purchase price, the seller can be secured with the buyer's personal assets and the assets of the seller's business until the Promissory Note has been paid. The seller can receive ALL CASH in two steps. Step one is the cash down payment. Step two is to have the broker sell the Promissory Note, in whole, or in part or for any number of it's years. Banks and Insurance companies earn their wealth through interest income. So, too, the seller can earn significant income on the buyer's Promissory Note. Because Promissory Notes normally bear from 6.5% to 8% interest, they are more lucrative for the seller than the meager interest they can earn in their own bank. As an example, if the seller held a $200,000 Promissory Note for 5 years, the seller would be paid $3,960.24 monthly, and enjoy total interest income of $37,614.38 within 60 months. Note Buyers are plentiful. They normally require a note to "season" for 4 to 6 months before they purchase it as some assurance that the note maker is creditworthy and punctual in making payments. Call the manager of Business Brokers Hawaii in Kauai, Maui, or the Big Island of Hawaii for more information or assistance in selling your note.

Seller Financing

ADVANTAGES TO BUYERS ADVANTAGES TO SELLERS

Even though you have excellent credit with banking institutions in your home city on the USA Mainland, or your own country's banks in your new home town - you are unknown. It generally takes two years to establish credit in Hawaii, or any new living area. .
Banks with whom you are unknown will not extend credit to you without excellent "cash equivalent" collateral.
The seller of the business you are buying generally will accept your "IOU" or Promissory Note upon presentation of a reasonable Net Worth Statement, and an acceptable down payment usually in the amount of 25%, 33%, or 50% of the selling price. 99% of sellers do!
You will have the privilege of prepaying your Promissory Note, without penalty as soon as your business earnings are are sufficient.
Within two years, most banks will lend you sufficient money to retire your Promissory Note as you demonstrate your businesses creditworthiness.
That the seller of your business elects to accept your Promissory Note automatically helps to establish your good credit in your new home island.
Even if you have sufficient money to pay all cash for your new business, it is often prudent to exercise financial leverage. You will often be well advised to place the least down payment possible.
Interest charges on Seller accepted Promissory Notes are often quite a bit less than bank interest.
Call the manager of Business Brokers Hawaii in Kauai, Maui, or the Big Island of Hawaii for more information or assistance in arranging for a seller accepted note.

When a buyer comes to Hawaii from the USA Mainland, or a foreign country, the buyer is unknown to local financial institutions - banks.
Generally it takes two years to establish local creditworthiness.
If the seller requests and receives a full year's income (cash flow) from the buyer, equal to 25%, 33%, or 50% of the purchase price, as a down payment and a Promissory Note for the balance of the purchase price, the seller can be secured with the buyer's personal assets and the assets of the seller's business until the Promissory Note has been paid.
The seller can receive ALL CASH in two steps. Step one is the cash down payment. Step two is to have the broker sell the Promissory Note, in whole, or in part or for any number of it's years.
Banks and Insurance companies earn their wealth through interest income. So, too, the seller can earn significant income on the buyer's Promissory Note. Because Promissory Notes normally bear from 6.5% to 8% interest, they are more lucrative for the seller than the meager interest they can earn in their own bank.
As an example, if the seller held a $200,000 Promissory Note for 5 years, the seller would be paid $3,960.24 monthly, and enjoy total interest income of $37,614.38 within 60 months.
Note Buyers are plentiful. They normally require a note to "season" for 4 to 6 months before they purchase it as some assurance that the note maker is creditworthy and punctual in making payments.
Call the manager of Business Brokers Hawaii in Kauai, Maui, or the Big Island of Hawaii for more information or assistance in selling your note.