Private Lending

Private Lending

Private Lending

High-yield businesses attractive to buyers seeking passive income. Private lending operations with low default rates, clean underwriting systems, and repeat borrower relationships command strong multiples from high-net-worth acquirers.

High-yield businesses attractive to buyers seeking passive income. Private lending operations with low default rates, clean underwriting systems, and repeat borrower relationships command strong multiples from high-net-worth acquirers.

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Estimated Offer Range

$1,900,000

Low

$450,000

Average

$1,050,000

High

$2,050,000

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How do I sell my

Private Lending

business?

Business Advisors of America helps private lending business owners document loan quality, demonstrate repeat borrower relationships, and position the business to high-net-worth buyers and retired executives seeking passive income. We structure the deal to minimize your personal guarantees after closing.
TYPICAL VALUATION MULTIPLE
TYPICAL VALUATION MULTIPLE

2.5x – 4.5x SDE

2.5x - 3.2x SDE

Premiums for shops with a lead manager in place, modern shop management software, and stable technician tenure. Owner-dependent shops with no manager trade at the low end.

Business Advisors of America helps auto repair shop owners document systems, cross-train staff, and build a defensible earnings case before going to market. We run a confidential process that protects your crew and customers through close.

WHAT BUYERS WANT
WHAT BUYERS WANT

Default Rate Below 2 Percent / Repeat Borrower Relationships / Clean Underwriting SOPs / Current Asset Valuations on All Active Loans

Default Rate Below 2 Percent / Repeat Borrower Relationships / Clean Underwriting SOPs / Current Asset Valuations on All Active Loans

WHY BUYERS ARE INTERESTED
WHY BUYERS ARE INTERESTED

Private lending fills a gap that traditional banks cannot serve efficiently. As banks tighten underwriting standards, demand for private capital from qualified borrowers continues to grow. Buyers value the high yields and asset-backed security of a well-run portfolio.

Private lending fills a gap that traditional banks cannot serve efficiently. As banks tighten underwriting standards, demand for private capital from qualified borrowers continues to grow. Buyers value the high yields and asset-backed security of a well-run portfolio.

RISKS AND CHALLENGES
RISKS AND CHALLENGES

Liquidity risk is the top buyer concern. Cash tied up in long-term loans with no secondary market creates concentration risk. Value drops significantly if you are the only person with personal borrower relationships and the portfolio is not transferable.

Liquidity risk is the top buyer concern. Cash tied up in long-term loans with no secondary market creates concentration risk. Value drops significantly if you are the only person with personal borrower relationships and the portfolio is not transferable.

Why sell your

Private Lending

business?

Private lending operations with seasoned loan books and disciplined underwriting are attracting buyers who want yield and a proven originations engine. As traditional lenders tighten, demand for private credit has grown, and a lender with a strong track record, reliable borrower relationships, and clean portfolio performance offers exactly what acquirers seek. Larger credit platforms and investors are acquiring established lenders to gain deal flow and underwriting expertise, and they pay well for operations with documented performance and repeatable origination. Scaling a lending business takes capital and infrastructure, from servicing to compliance to funding relationships, and those needs grow with the book. Selling to a well capitalized partner lets the operation expand without draining your own resources. Your portfolio performance, borrower relationships, and underwriting record matter most when they are current and documented. Credit cycles move, so capturing value while your book is performing and buyer appetite for private credit is high is a prudent decision. If stepping back, taking value off the table, or handing a proven lending platform to an active buyer appeals to you, the timing works in your favor.

frequently asked questions

We’re here to answer your questions.

Here's where we answer the most common questions about

Private Lending

How is my private lending business valued?

Private lending businesses are valued on a multiple of SDE, typically 3.0x to 5.0x. Portfolio quality measured by default rates, loan-to-value ratios, and repeat borrower relationships are the primary drivers of where you land within that range.

Will the buyer want me to guarantee the loans I have already made?

This is a negotiation point. We work to minimize your personal guarantee exposure after closing so your personal assets are protected once you retire. Loan-level guarantee structures vary based on portfolio quality.

How do I handle a loan that is currently in default?

We do not hide it. We carve it out of the deal or adjust the purchase price to compensate for the risk. Transparency about problem loans early in the process prevents deals from collapsing during due diligence.

Do I need to clean up my loan files before going to market?

Absolutely. Every file needs a clean contract and a current asset valuation. We help you conduct a pre-sale audit to ensure the portfolio is documented to the standard buyers and their attorneys will require.

Can I sell to a buyer who just wants the passive income?

Yes. Many buyers are high-net-worth individuals or retired executives seeking stable passive income rather than operational involvement. Business Advisors of America specializes in identifying these buyers for asset-backed income businesses.

Hear from Our Clients

Real owners. Real outcomes.

  • Professionalism is an understatement. From the initial valuation to the final closing table, I felt supported. They found a strategic buyer that I never would have had access to on my own. If you are looking to exit, these are the people to call.

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    Daniel Dilanian

    Founder, Revepix Media

    Professionalism is an understatement. From the initial valuation to the final closing table, I felt supported. They found a strategic buyer that I never would have had access to on my own. If you are looking to exit, these are the people to call.

    Reviews Card customer image

    Daniel Dilanian

    Founder, Revepix Media

    The biggest concern for me was keeping the sale quiet until the deal was done. They executed a perfectly confidential marketing strategy. I received serious inquiries without alerting my competitors. A truly five-star experience for any business owner.

    Reviews Card customer image

    Lexii Lamas

    Agent, Nashville Real Estate

    The biggest concern for me was keeping the sale quiet until the deal was done. They executed a perfectly confidential marketing strategy. I received serious inquiries without alerting my competitors. A truly five-star experience for any business owner.

    Reviews Card customer image

    Lexii Lamas

    Agent, Nashville Real Estate

    "Used Business Advisors of America to sell my landscaping business after 11 years. They found a buyer pretty quickly and walked me through the whole thing. Closed in about 3 months

    Reviews Card customer image

    Rebecca Carrington

    Owner, Landscaping Business

    "Used Business Advisors of America to sell my landscaping business after 11 years. They found a buyer pretty quickly and walked me through the whole thing. Closed in about 3 months

    Reviews Card customer image

    Rebecca Carrington

    Owner, Landscaping Business