There are numerous levers business owners can pull to accelerate their company’s growth. One of those is accessing more funding. With loans increasingly difficult for small businesses to secure and interests rates high, not to mention all the continued murmuring about recession, this can’t be the time to get money, right? Think again. There are creative options to consider if you are looking to fund your big hairy audacious goals and take your company to the next level of growth.

Acquire or Be Acquired

Acquiring another company can be a great way to expand a business, add new product lines, and expand into new markets. Conversely, being acquired is an excellent exit strategy. Thanks to recent changes from the Small Business Association (SBA), the financing process for buy transactions has been simplified and may benefit you on either side of a sale.

  • Now sellers can retain a role as a minority owner or carry back a note as part of the financing.
  • Buyers can now secure a loan to purchase a portion of the business, with the owner maintaining control for up to two years.
  • The bank may provide a revolving line of credit for operations alongside the business acquisition term loan.

Our client, C Squared Solutions, are expert COO/CFO/CEO advisors. They have outlined the details well in a recent article, so read here if you’d like to learn more.

If you’re in M&A discussions, it’s a perfect time to bring in the 5280 Accelerator team. We have worked with numerous exit strategists and business brokers and understand the value drivers that can maximize the sale of the business. One of those is an established, stable, customer base, which can be built through solid marketing. We can also help unify the messaging for a solid sale or make combining brands and updating customer-facing assets a smooth transition so that a newly merged company can hit the ground running faster.

Check out these case studies:

Secure a Loan

CNN outlines three SBA loan options that may be a fit if your business meets the eligibility requirements:

  • Good news if you need less than $500,000. 7(a) loans will now be charged a guarantee fee only if they exceed $1 million (in 2023 the threshold was half that) and the loan amount that can be borrowed without collateral has been increased from $25,000 to $50,000. The 10% equity down payment requirement for loans less than $500,000 has been removed.
  • Good news for small companies worth less than $15 million. The SBA has made qualification easier for small businesses to secure 504 loans of up to $5.5 million through certified development companies.
  • Good news for microloans. Loans of $50,000 or less to be used for working capital, inventory, and equipment are still available.

Big Dreams Built on Solid Foundations

Big dreams can move your company not only to a new level, but to a whole new stratosphere. Securing funding, getting acquired, or executing a successful acquisition of the right company – all demand thoughtful strategic planning, and this is where 5280 Accelerator can help.

  1. Know your differentiation. Clarifying your strategic advantage and what differentiates you in the marketplace is where a strategic marketing plan can be incredibly beneficial. This is a critical step to complete before positioning your business to receive investment or to be acquired. If you are seeking to acquire another company, a well-thought-out marketing strategy allows you to see the gaps and market opportunities that will lead to a compatible and profitable fit.
  2. Know your SWOT. Our business strategists have been helping companies accelerate their growth for decades. We provide perspective and insight in SWOT (Strengths, Weaknesses, Opportunities, Threats) analyses. Investors want to know that you understand the external threats in the marketplace, as well as how funding or acquisition will be used to capitalize on strengths and opportunities that could dramatically accelerate your business.
  3. Present a solid market understanding. Expert communicators, the 5280 Accelerator team can compile a succinct, data-driven, investor deck to present your business in the most appealing light and tell a compelling story of competitive advantage.
  4. Be prepared to pivot. If you do plan to acquire another business, read our case study: We just bought a business, how do we grow it?

No matter how you’re seeking to accelerate your company’s growth, 5280 Accelerator has a proven marketing formula for success. We help you clarify your market position, understand your competition, and solidify your brand so that you can get more funding, grow your business through the right outreach strategies, or sell for a higher price. If you’re ready to get more out of your business this year, give 5280 Accelerator a call.