
Ultimate Guide to Friends and Family Financing for Business Acquisitions
Friends and family financing is a common way to fund business acquisitions because it offers flexible terms, faster access to capital, and fewer qualification hurdles compared to banks or investors. However, it comes with risks like strained relationships, tax implications, and legal complications if not structured properly. To succeed, treat the arrangement like a formal deal by using written agreements, clear repayment plans, and regular communication to protect both your business and personal relationships.
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