Sell Your Business Note for Cash Today

Are you considering selling your business note, but not sure how? Then, you're in the right place. At Money Financial Group, we specialize in purchasing business notes and pride ourselves on providing competitive quotes with a quick turnaround. Selling your business note can be a game-changer. Not only does it provide immediate access to cash, but it also offers flexibility and effective risk management. Our streamlined process simplifies the experience and ensures you receive a quote within 24 hours. We understand the value of your time and assets, so we prioritize transparency and efficiency to make the entire process hassle-free. We're here to help you unlock the potential of your assets. Get started today and discover the benefits of selling your business note with Money Financial Group.

Steps to Selling A Business Note

  1. Submit for a quote: Receive a competitive bid for your business note from our team of experts
  2. Accept Offer: Choose from a full purchase offer or a partial purchase offer (full purchase = entire note paid in full less discount /Partial purchase =  a portion only to be mutually agreed
  3. Submit Required Documents: Provide a copy of the Seller's Note, Purchase Agreement, or Mortgage Note, (requirement may vary depending on your state and type of business sale)
  4. Underwriting: Submit additional documents, including:
    • Copy of Bill of Sale
    • Copy of Recorded Note
    • Proof of Personal Guarantee (if business buyer is a corporate entity)
    • Copy of Lease Agreement (if applicable)
    • Business Financial Statements up to Time of Sale
    • Note Seller's Tax Returns from Previous 2 Years Prior to Sale
    • All Closing Documents From Time of Sale
    • Copy of 3rd-Party Loan Servicing Agreement (if applicable)
  5. Review and Sign: Review and sign the note-purchase agreement and seller checklist
  6. Transaction Underwriting: We'll review and underwrite the transaction to ensure a smooth closing process
  7. Closing: We'll clear the transaction for closing and schedule a time and date OR close the transaction via mailing system
  8. Get Paid: Receive a cashier's check or wire transfer for the sale of your business note
Sell Business Note

Benefits of Selling Your Business Note with MFG

You might wonder why you should consider selling the business note for cash. The benefits are twofold:

  • Gaining immediate access to a lump sum
  • Offloading the risk of payment default
  • Avoid Collection Efforts: If your buyer defaults, the business note buyer takes on the responsibility of recouping the debt.
  • Better Price: Depending on your note's terms, a business note buyer often offers a competitive price, sometimes better than other potential buyers.
  • Simplified Accounting: With the lump sum payment, you're free from tracking future payments and interest over time

Additionally, this immediate influx of cash could free up funds for investment elsewhere, eliminating the risk associated with non-payment. Selling your business note is a strategic move that simplifies financial management while providing immediate capital.

Selling your business note can offer numerous benefits, including immediate access to cash, potential tax advantages, and transferring the risk of loan default to the note buyer. As a small business owner, you can sell your note for a lump sum of cash, providing instant funds for investments or unexpected expenses.

Selling in portions can also yield tax benefits, potentially reducing your bill at tax time. This approach allows for further deferral of taxes by selling another portion later.

Furthermore, selling your note relieves you from administering an owner-financed loan, effectively transferring default risk to the buyer. Therefore, selling a business note is a major benefit for the business seller, offering financial flexibility and risk management. It's an option worth considering for its immediate and long-term advantages.

Whether you are thinking of selling a business note or are already working with a business broker, contact us today to allow our team of experts to guide you on the process of the sale of a business note. 

What Factors Influence the Sale of a Business Note?

When selling your business note, several factors can influence the sale. The impact of cash flow on the note's value is key to understanding how much your note is worth.

Also, be aware that your seller financing options can greatly affect the process and outcome of the sale.

The Impact of Cash Flow on Note Value

Understanding the impact of cash flow on the value of your business note is critical as it's one of the key factors that influence its sale. The stronger the cash flow, the higher the note's value, leading to a better sale price.

  • Cash Flow Impact: Your note's value can be significantly impacted by the business's cash flow. Robust, consistent cash flow is a positive sign to potential buyers, indicating that the business can generate enough revenue to repay the note.
  • Buyer Creditworthiness: A buyer's ability to maintain the cash flow directly affects the value of the note. The more creditworthy the buyer, the less risk involved in the transaction.
  • Seller Success Interest: Your vested interest in the buyer's success can influence how the cash flow is managed, potentially boosting the note's value.

Maximizing Note Value

To maximize the value of your business note, it's crucial to understand the factors that affect its worth in the market. The note's value is primarily derived from the buyer's credit, the terms of financing, and the overall financial health of your business.

Consider the following points to maximize your business note's value:

  • Creditworthiness: Check the buyer's credit history and ability to repay the note. A buyer with a solid credit history can increase your note's value.
  • Financing Terms: Terms like interest rate, payment schedule, and note duration impact the note's worth. More favorable terms enhance the note's value.
  • Business Health: A profitable business with a strong cash flow is attractive to buyers. Ensure your business is in good shape before selling the note.

Schedule a Call with a MFG Representative

If you want to find out more or simply have any questions, don't hesitate to fill out the form below. We'll be sure to give you a call!*

*We may send you appointment reminders via text after you become a client