Here are some general guidelines: Lien Position1st Position LienEquityMinimum Down Payment of 20-25% (a 30% equity to sale price is preferred)Down Payment made in certified funds and not borrowedMaximum Funding of 70% ITV (Investment to Value)SeasoningMinimum of two monthly payments already made12 months or more preferredPayer CreditCredit Score of 650 or higherNo major derogatory trade lines (No 90-180+ days delinquent, foreclosure, repossession, bankruptcy, etc.)No decline in credit since purchase of businessTermsPrefer 60 months or lessMaximum of 72 monthsNo Balloon Payment preferredCash FlowBusiness has positive cash flow1.25 debt service coverage ratio preferred.DocumentationPersonal guarantee from a creditworthy individualStandard documents including Note, Security Agreement, and UCC-1 filing.Tax Returns on the business that substantiate profit and loss statements.OtherPayment history current and verifiablePayer Interview indicating buyer is satisfied with business and comfortable making paymentsMotivation for selling the note is not a result of a deteriorating businessConsideration of high risk businesses or geographic areasIn these situations, sometimes a partial is a better option. 

They only operate in markets where their data can hedge an almost guarantee if you follow their protocol.

It's no guarantee but it's a good place to start.

It's no guarantee but it's a good place to start.

So if they can get guaranteed 5% interest in an account they can get their money out of at any time they’ll want 8-10-12%. 

The second option at least gives you a chance at a fresh start with a new tenant.Of course, a new tenant is an unknown and there's no guarantee they will be better.

Also while there is no guarantee rents will continue to increase in the future I believe there is a good chance they will. 

Personal guarantees are EXTREMELY common.

Personal Guarantee: Will you require this?

Not a Guaranteed SuccessA coaching program is not a magic pill.