⚡ TL;DR:

You signed the LOI. The QoE came back clean, the lender likes the cash flow — then the term sheet asks for 10% of total project costs, not purchase price, and the money you planned to use may not count the way you assumed.

This week's deep-dive maps the full rulebook under SOP 50 10 8: the sources that actually qualify (seasoned cash, ROBS retirement rollovers, gifted funds with a proper letter, a HELOC serviced from outside income), the full-standby seller note that cuts your cash at closing to 5%, and the three traps that blow up approvals late (unseasoned funds, gifts that look like loans, lender overlays).

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A manufacturers' representative firm founded in 1972 that sells industrial instrumentation and process-control equipment across a five-state territory (OK, KS, NE, AR, MO). It holds exclusive agreements with 17 blue-chip manufacturer principals, with many customer relationships running 30 years deep. Six employees carry the accounts. The owners are retiring and will transition; cash and receivables are excluded, and the sale conveys fixed assets, inventory, goodwill and the principal agreements.

Why this deal stands out: At about 3.6x cash flow with $1.03M of owner earnings, this is a rare full-margin B2B annuity. Seventeen exclusive principal agreements and 30-year customer ties are the moat, so a new owner inherits recurring commission flow rather than rebuilding a book. A DSCR near 2.0x on a standard 7(a) leaves real cushion.

💡 EBIT Take: The value is the principal agreements, so make their assignability the first diligence item: confirm each of the 17 lines transfers on a change of control and read the termination clauses. With cash and receivables carved out, model your own working-capital need at close. SBA financing is noted as available, which should shorten your funding path.

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That's the loan at standard 90% SBA financing. A rep firm has almost nothing a lender can liquidate — the guarantee isn't a formality, it's the collateral. Every deal in this issue carries one: roughly $470K to $3.7M signed at the closing table.

Ink launches personal guarantee insurance this summer, and is offering pre-launch pricing estimates. Bring your deal and the team will walk you through what coverage costs on your specific guarantee.

A commercial wholesale greenhouse nursery operating since 1989, selling to nurseries, landscapers, municipalities and retailers across the region, with demand described as exceeding capacity. The sale includes the real estate (valued at $1.67M), $1.09M of equipment and $142K of inventory. The owner is retiring, will assist with training, and is offering owner financing.

Why this deal stands out: This is the week's real-estate anchor: $1.67M of owned land and structures convey inside the asking price, so a large share of the purchase is hard collateral. With the real-estate portion amortized over 25 years, coverage clears the 1.25x floor the SBA applies to RE-included deals, and owner financing can fill part of the equity injection.

💡 EBIT Take: Back the business value out of the real estate before you price it: roughly $2.3M of the ask is enterprise value on $669K of cash flow, about 3.4x. Diligence the crop cycle and how concentrated the municipal and retail buyers are, and get an independent appraisal on the land, since your whole coverage math depends on that $1.67M holding up.

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A rapidly growing fire-protection business in Virginia. The company was established in 2015 and launched its fire-protection division in 2022, completing projects for major general contractors and government clients using a proprietary product approach. It runs lean with three employees out of a low-rent facility and is fully relocatable.

Why this deal stands out: A 41.6% SDE margin on $1.9M of revenue is exceptional, and at 2.4x SDE the price leaves a 2.9x DSCR, among the strongest coverage in this issue. Fire protection is a defensible, code-driven niche with limited buyer competition.

💡 EBIT Take: The story to pressure-test is the growth curve: the division is only three years old, so ask what share of revenue is recurring inspection and service versus one-time installation, and how concentrated the GC and government work is. A lean three-person team means the owner likely holds key relationships, so scope the transition and any licensing the new owner must carry.

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An established primary-care medical practice in Ocala, Florida, operating for 29 years with a stable patient base. The sale includes $355K of furniture, fixtures and equipment and $50K of inventory. The practice operates from leased space, and the owner is retiring.

Why this deal stands out: A 29-year care relationship in a growing Florida retirement market is a durable asset, and healthcare has been one of EBIT's highest-clicking categories. At $855K SDE the deal supports a 1.65x DSCR with the FF&E already in the price.

💡 EBIT Take: A physician-owned practice usually needs a clinical successor, so the first question is whether the buyer is a provider or is bringing one. Verify payer mix and how much production is tied to the retiring owner personally, and plan a long transition to hold patients through the ownership change.

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A 24/7 automotive towing and repair operation serving the five boroughs and the tri-state area, built from six integrated entities spanning towing, heavy transport, collision, parts and mechanical service. Revenue is anchored by municipal rotation agreements, government assignments, law-enforcement roster contracts and commercial fleet accounts. Management is prepared to transition. The broker presents the figures below as adjusted targets.

Why this deal stands out: Auto services is EBIT's single highest-engagement category, and contracted municipal and law-enforcement rotations are about as sticky as small-business revenue gets. A heavy fleet of wreckers and flatbeds backs the price with rolling collateral.

💡 EBIT Take: The broker frames the $9M revenue and $1M cash flow as targets, so treat trailing tax returns as the real number and rebuild the add-backs yourself before anchoring on the multiple. Confirm the municipal rotation contracts survive a change of ownership, and diligence how the six entities are structured and whether all convey.

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An outdoor lighting design, installation and maintenance company in Southwest Florida (Collier County) with a design-first model serving residential and commercial clients. Founded in 2020, it has grown quickly (a stated 125% growth rate) with roughly a 90% close rate and five employees. The owner is relocating and is open to owner financing; $83K of equipment is included.

Why this deal stands out: A 43.6% margin is the highest in this issue, and 1.9x coverage gives comfortable room on a $2.3M ask. Outdoor lighting rides the same affluent-homeowner demand as landscaping, a consistently strong category, with owner financing available to ease the injection.

💡 EBIT Take: Fast growth off a 2020 start deserves scrutiny: ask how much of the cash flow is durable versus a growth spike, and how concentrated the top accounts are. A 90% close rate usually rides on the owner's design reputation, so the transition and brand handoff are the real risk to underwrite.

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A property-damage restoration franchise resale in Pasadena, covering water and mold remediation plus carpet and floor cleaning, established in 2009. The business runs on an absentee-friendly model with four employees, corporate franchise support, a 24/7 call center and lead generation, plus existing property-management and insurance-company relationships that drive recurring work. Fully equipped vehicles and fixtures are included.

Why this deal stands out: At 1.1x cash flow this is the value play of the issue: $475K of earnings for a $525K ask means debt service is trivial and DSCR runs above 6x. Insurance-carrier and property-manager relationships create recurring, non-discretionary demand, and the franchise system supplies the playbook.

💡 EBIT Take: A price this close to one year of cash flow always warrants a why, so verify the earnings against tax returns and understand the franchise transfer fee and royalty stack before you model returns. The insurance relationships are the recurring engine; confirm they belong to the business, not the departing owner personally. This one suits a semi-absentee buyer or a bolt-on.

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An interdisciplinary child behavior and therapy practice in Orange County, established in 2006 by a clinical psychologist, delivering psychological and educational services across multiple disciplines with a team of 19. The owner is retiring; the sale includes about $10K of inventory and $10K of FF&E. The real estate is owner-held and not included in the price, so plan on a lease with the seller or a separate negotiation.

Why this deal stands out: A 19-person clinical team means the practice runs on staff, not solely the owner, which lowers key-person risk for a first-time buyer. At 3.1x SDE with a 2.3x DSCR the coverage is comfortable, and children's behavioral services carry durable, referral-driven demand.

💡 EBIT Take: With 19 employees the questions are clinical: verify licensing and credentialing transfer, payer contracts, and any waitlist or referral pipeline. Confirm which providers are under contract versus at-will, and how much revenue follows the retiring owner — the listing offers just two weeks of transition support, so negotiate a longer clinical handoff into the deal. A strong administrator in place would make this genuinely semi-absentee.

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Disclaimer: Educational content only, not investment advice. Listings are from third-party sources and accuracy is not guaranteed. Do your own due diligence. Consult with legal, accounting, and financing professionals before making any acquisition decisions.