If you are looking to buy a chiropractic practice in 2022 or 2023, there are some important SBA Loan updates and incentives you need to know.
Starting in October, the SBA has put forth some attractive incentives for those looking to buy a chiropractic practice in 2022 or 2023 — you can read the full SBA notice here.
No Real Down Side
Thinking in terms of the good news vs the bad news on this announcement?
There really isn’t a downside if you are looking to buy a chiropractic practice in 2022 or 2023 because the only “catch” at present is that there is a deadline that your loan needs to close by September 30, 2023.
But if you are looking to buy a chiropractic practice in 2022 or 2023 – that should coincide with your goals anyway.
Unlike previous SBA loan incentives that we saw launched during the pandemic, three is no disclaimer stating “while supplies last” – yet. But that doesn’t mean that the SBA cannot install one if suddenly everyone runs out to get their loan.
THE GOOD NEWS
The good news is simple and straightforward:
- SBA loan fees will be 0% (waived) on SBA 7a loans that are for < $500,000 and are closed through September 30, 2023.
- SBA loan fees will be lowered to 0.55% (reduced) on SBA 7a loans that are for > $500,000 and are closed through September 30, 2023.
As it now stands, most SBA loan fees are on a sliding scale and can typically run 1-4% of your total loan package.
So if you were borrowing $500,000 — this new incentive could save you up to $20,000!
MORE GOOD News – Other Incentives
While the above SBA 7a program will benefit most chiropractors who are looking to buy a chiropractic practice in 2022 or 2023, there are some other additional incentives that may be attractive to you as well.
For example, if you were looking to buy a chiropractic practice in 2022 or 2023, you may also benefit from:
- Low Upfront Fees variable by your loan term
- Multiple SBA loans made within 90 days of each other
- Extensions of Short Term Loans
Chiropractors who are considering a practice purchase in the near future should strongly think about looking to buy a chiropractic practice in 2022 or 2023…while these benefits last!
While that might sound like a cheesy informercial sales pitch, the last couple years has demonstrated that if the SBA and the Federal Government needed to revise their stimulus program out of fear that the funds may run out, they will! And you’d kick yourself if you were looking to buy a practice but missed out on these benefits – so act today!
If you have not yet found a practice, consider our chiropractic practices for sale we have listed here.
And if you need to know more about what it takes to get a loan to purchase, check our FREE WEBINAR – Chiropractic Practice Financing 101 and learn all about it.