Mundo Sanchez walks through a seller-financing setup: 10-year amortization with a 3-year balloon. The buyer gets three years to clean up financials and build two years of bank-ready statements, then refinances into a conventional loan when the balloon hits.
What you could do is essentially do, hey, I'm going to do a 10-year amortization, but we're going to do a 3-year balloon. So the seller's going to get paid out in 3 years. During that time, I'm going to use that opportunity, that 3-year window, for me to get my foot in the door. And then I'm going to clean up the financials, clean up the tax returns, and give, you know, the next— we'll call it, let's say it'll take a year to get things figured out. You'll have 2 years of good tax returns and financials for then you to turn around and make this a bankable business, right?
