Business Purchase Funding Estimator

See the full cash a business purchase really needs, the part a lender will likely fund, and the gap most buyers miss, before you make an offer.

Leave at zero if stock is already included in the asking price.

Use EBITDA or normalised annual profit before finance costs. If unsure, use the seller's adjusted profit figure.

The equity you can use, not the full property value. Set to zero if none.

Goodwill $0Tangible assets $0

Goodwill is the part of the price above the business's tangible assets like plant, equipment and stock. Lenders fund far less against it than tangible assets, so a higher goodwill share widens the gap.

Your deal snapshot

 

Estimated funding gap $0
Likely facility required$0
Total cash needed to complete$0

The gap is the part beyond what a bank will lend against the business earnings and your security. It is what we structure and close for you, through the right lender, vendor finance, a working capital facility, or additional security. Book a time with us for a free, confidential assessment and we will map your exact position and the plan to fund it.

See how it adds up

Purchase price$0
Trading stock$0
WA transfer duty (indicative)$0
Working capital buffer (first 60 to 90 days)$0
Legal and due diligence$0
Total to complete the purchase$0
Bank finance (indicative)$0
Additional funding to structure$0
Total facility we arrange$0
Your cash$0
Total to complete the purchase$0

The bank figure is the lower of what the earnings can service and what the security in the deal supports. More goodwill means less security to lend against, which is why it widens the gap even when the earnings are strong. The real number depends on the lender, the business, and your profile, which is what we confirm with you.

  • Whether the goodwill level is fundable for this type of business
  • Whether the business earnings support the debt with a serviceability buffer
  • Whether vendor finance would help bridge the gap
  • Whether the working capital needs its own facility
  • Which lenders are realistic before you sign

Get this checked before you sign heads of agreement. Bring the business financials, the asking price and your deposit position, and we will map what a lender is likely to support.

Book a meeting

Indicative estimate only, based on typical lender settings. Not a credit quote, approval or advice, and duty figures are general, so confirm with your accountant and RevenueWA. Your actual position depends on the lender and how the deal is structured.

Why a business costs more than its price

Most buyers plan for the purchase price and a deposit. The cash that catches them out sits in the gaps. It is the working capital to run the business from day one, the WA transfer duty on the goodwill and assets, the due diligence and legal costs, and the part of the purchase a bank will not lend against. Two things drive what a bank will lend. One is what the business earns. The other is how much of the price is goodwill rather than tangible assets. Move either and you can watch the gap open or close.

This estimate gives you the shape of a deal. The exact position depends on the lender, the security available, and how the purchase is structured, which is the work we do with you. For how lenders actually assess a business purchase, read our acquisition finance guide.