Introduction
Many lenders hesitate to finance online businesses, but Yaw Capital specializes in securing financing for eCommerce and consumer brands. We recently closed a $1.1M SBA-backed acquisition for a DTC brand seller.
The Challenge
- Business reliant on Amazon and Shopify.
- Few physical assets.
- Buyer had digital experience but no ownership track record.
Our Solution
Yaw Capital placed the deal with an SBA lender familiar with digital-first companies:
- 10-year SBA loan with low equity requirement.
- Seller note covering part of down payment.
- Emphasis on recurring subscription revenue
The Outcome
Closed in 52 days. Buyer leveraged their marketing expertise to boost sales by 25% in six months.
Key Takeaways
- Lenders exist who understand digital models.
- Subscription revenue is highly financeable.
- Seller notes reduce capital requirements.
