Starting a business can be a difficult and expensive endeavor, especially if you don’t have the funds to purchase an established business with a proven track record. But what if you don’t have the money to buy a business? What are the options? In this article, we’ll discuss how to buy an established business with no money of your own. We’ll look at the various methods available, such as SBA loans and seller financing, and how to make the most of them.

How to Buy an Established Business with No Money?

The most popular methods to buy a business with no money of your own are SBA loan and Seller financing. There are more ways such as getting venture capital investment and leveraging a business’s assets. We’ll explore them below.

SBA Loan

The Small Business Administration (SBA) offers loan programs to help small business owners start, purchase and expand their businesses. To qualify for an SBA loan, you need to have a good credit score and a solid business plan that outlines how you plan to use the funds. The SBA also requires a down payment of at least 10%, but this can be waived in certain cases. An SBA loan can be a great option if you don’t have the money to purchase a business outright.

Seller Financing

One of the most straightforward methods is through seller or owner financing, meaning that the seller agrees to be the lender for their own business. This can be done in a number of ways, such as the seller providing a loan for the full purchase price, or offering a lower price with the buyer taking on a loan for the remainder. To make this work, the buyer must have a good credit score and be able to provide a down payment and convincing business plan.

Look for an Owner Who is Ready to Get Out

When looking for an established business to purchase, it’s important to find an owner who is ready to get out. This could be someone who is retiring or moving on to a new business venture. Buyers who are willing to get creative can sometimes find an owner who is willing to finance the purchase with no money down. This could be in the form of a loan or a lease-to-own agreement.

Look for an Underperforming Business

Another option is to look for an underperforming business. If a business is struggling, the owner may be more willing to negotiate a deal that requires no money down. If the buyer can prove that they have the skills and knowledge to turn the business around, the owner may be willing to accept a lower purchase price and provide financing.

Offer a Higher Interest Rate/Larger Payment in Exchange for No Money Down

In some cases, the seller may be willing to accept a higher interest rate or larger payments in exchange for no money down. This can be a good option for buyers who have limited funds but are willing to take on more debt to get the business they want. It’s important to understand the terms of the loan and make sure it’s a good deal for both parties.

Small Business Leveraged Buyout

One way to finance a business with no money down is to do a small business leveraged buyout. In a leveraged buyout, you leverage the assets of the business (such as inventory and accounts receivable) to secure a loan for the purchase price. This can be a good option for buyers who don’t have the funds to purchase a business outright but have some assets that can be used as collateral.


Buying a business with no money down is doable with the right strategies. Business funding options include flexible seller financing, payments tied to performance, and leveraging a business’s assets. It is possible to purchase an established business without any money of your own, but it takes research and careful analysis to ensure you’re making a good deal. For more information on buying a business, check out, a great resource for answers to your questions about business brokers and selling a business in Atlanta.

What are some ways to purchase a business without using any funds?

1. Seek out an owner who is ready to move on.
2. Look for a business that has not been doing well.
3. Offer a larger repayment and/or a higher interest rate in exchange for your own labour.
4. Find a partner who will not be actively involved in the business.
5. Search for alternative sources of financing.
6. Use crowdfunding to acquire the necessary capital.

What steps do I need to take to assume control of an existing business?

Step 1: Identify a company to buy.
Step 2: Assess the worth of the business.
Step 3: Arrange an acquisition cost.
Step 4: Submit a Proposal of Interest (POI).
Step 5: Undertake comprehensive investigations.
Step 6: Secure the necessary financing.
Step 7: Finalize the deal.

What are some ways I can generate funds to purchase an existing business?

Bank loans. …
Credit cards. …
Family and friends.

Raise money for your business through crowdfunding, angel investors, bootstrapping, venture capitalists, microloans, Small Business Administration (SBA) financing, purchase order financing, contests, bank loans, credit cards, and family and friends.

What is the time frame for purchasing an existing business?

When purchasing a business, it is important to remember that the process may take between 90 and 120 days to complete. Make sure you factor this into your timeline if you need to acquire a business by a certain date due to relocation or other reasons.

Would it be beneficial to purchase an existing business?

Purchasing an already established business is much less risky than creating one from the ground up. Due to its existing presence in the market, its customers and employees, its operational systems, its suppliers and its financial history, as well as its physical location, and the potential of seller financing, buying an existing business is clearly a safer option.

What steps do you need to take to obtain a business?

Determine the reason for wanting to acquire a company/business. Set up criteria for the type of company you are looking for. Conduct research to identify potential targets. Reach out to the owners/representatives to introduce yourself and your intentions. Schedule meetings with the owners/representatives to discuss the possible acquisition. Make an offer for the company/business. Perform due diligence to make sure all required documentation is in order. Finalize the acquisition with all parties signing the necessary documents.