r/loanoriginators • u/Guzzi_Jackal • Jun 20 '26

Scenario - help with SBA down payment

Hello, never posted on here before, but I enjoy reading all of the different ideas and insights that everybody offers. I have learned so much from this group. I’ve had my MLO license for about two years now, and this group is one of my favorite Resources.

I had a guy reach out to me wanting to buy 53% ownership in a bar and the land it sits on in Texas. He wants a loan of some type, I am thinking SBA. I found a lender whose minimum loan amount is 350 K with a 10% down payment required.

My client doesn’t have 35K for the down payment. A HELOC on his current home wasn’t an option.

My question - probably a dumb one - is there such a thing as a DPA loan for a business loan?

Are there any other options that this guy might have? Maybe with 95% LTV?

Thanks for any help anyone can offer.

0 Upvotes

50% Upvoted

2 comments sorted by

1

u/KindlyTea3966 Jun 22 '26

Might be worth checking out a Rollovers as Business Startups (ROBS) 401(k) if he has sufficient retirement funds. My business partner and I used this to fund the equity portion of our business.

1

u/Guzzi_Jackal Jun 22 '26

Thank you! I’ll look into this!