Funding Amount
$5,000 to $5,000,000
Payment Terms
Between 4 to 36 months
You Get Funds
As fast as 24 hours
What is a Structured Buyout?
When it comes to handling business debt with multiple creditors, it can be difficult to manage expenses and negotiate existing payment durations, while simultaneously trying to increase your cash flow. A structured buyout can help in this area by giving you regular payments to cover your debts, effectively helping you clear out your business debt while increasing your cash flow. Unlike a traditional buyout, a structured buyout has multiple creditors. When using this type of repayment method, you can stretch out your existing payment durations, reduce your monthly payment amounts, and possibly receive an upfront cash payment.
Why Choose To Go With A Structured Buyout?
The main reason why businesses choose to go with a structured buyout is that it allows you to reduce the daily payments by up to 60% of the original payment amount. This allows you to still pay down your debts while increasing your existing cash flow. It is a great way to reorganize finances or invest in other areas of your business.
Unlike a regular buyout, which allows you to consolidate all of your business debts into one easy payment, a structured buyout allows you to make reduced payments on multiple debts. So while it does not consolidate your debt, it can potentially stretch out the existing payment, making them easier to manage while freeing up cash flow that can be used to run your business.
What Criteria Is Needed to Qualify?
There are a few points of criteria that you will need to meet to be successfully approved for a Structured Buyout.
Credit Score
As low as 550
Time In Business
3 months minimum
Monthly Revenue
$15,000 (minimum)
How Early Can You Receive The Funds?
You can receive the funds as quickly as 24-hours after a successful application with a one-time payment made to you once a week. You may also be eligible to receive one upfront, lump-sum payment.
What Are The Payment Terms?
The amount that is repaid as well as the duration of the loan, is dependent on a few factors. Namely, the total amount of your business is currently earning every month and what the total amount of outstanding debt is. Repayment terms generally fall into a 4-month to a 36-month duration in so long as your business is earning a minimum of $15,000 a month. To be successful in the approval of a structured buyout, you must have a minimum credit score of 500, and your business must have been established and running for a minimum of 3 months to qualify.
