Editor's choice: First Down Funding business loans
- Works with bad credit and most industries
- Only 100 days in business required
- No credit check
Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
Loans for accounting practices are for people who want to either expand their firm or go out on their own as an independent CPA. Our guide covers the most common types of loans for accounting practices and what you can expect when evaluating a practice for purchase.
Financing the acquisition of an accounting practice can allow partners of existing firms to expand their business by purchasing other firms, or it can be a way for individuals to branch out on their own as an independent tax agent.
However, getting that financing can be difficult. Many lenders will only consider borrowers who have three or more years of experience as a partner of a firm or high-level CPA of a similarly-sized accounting firm.
You don’t want a deal to slip through your fingers because you don’t have the right funding available at the time of sale. Learn about your most common loan structures and compare some of your options below.
Lenders take the following points into account to determine if they’ll extend a loan:
This is a brief list, and you should note that lenders will look at every part of the loan before making a final decision. Your experience and financial situation plays a role, along with the state of the practice you’re looking to buy. You may need to provide liquid assets for a down payment, or to show the lender that you’re serious and capable of taking on a new business.
Just because you’ve found a good deal doesn’t mean you’ve found the perfect practice for you. There are a variety of points to consider when deciding if you should buy an existing accounting practice.
Every lender is different, but these are a few points that may set one lender above another when you’re looking to finance the purchase of an existing practice.
Although it might be exciting to expand your business or finally have the opportunity to strike out on your own, it’s not a good idea to apply for a bigger loan amount than you can afford.
It can be easy to get ahead of yourself, especially when the possibilities seem endless, but keeping a handle on the fees and charges applied to your loans is vital. Overextending your finances will only lead to trouble in the future — for your business and your personal finances.
Buying out another CPA firm or expanding your accounting business may be a new process, but it doesn’t have to overwhelm you. Once you’ve secured your loan and found the right practice, seal the deal and expand your client list by learning how to further expand your business financing options.
A lender who primarily offers loans to underserved small business owners.
You only have until the end of March to get your next application in.
First Draw loans are now available through nonprofit lenders, with Second Draw loans following shortly behind.
A permanent life insurance policy’s cash value can be used as a retirement income supplement, though using it reduces your policy’s death benefit.
While you can get started on your loan application today — you’ll still need to wait for funding.
Because being a true ally means putting your money where your mouth is.
You might be able to apply for more funding on your PPP loan, get a second PPP loan or take advantage of a new grant program.
Getting a policy can be complicated, but it offers protection for you and your employees.
Wise Loan may be an expensive choice, but it’s upfront about its costs.
Ways to protect your assets and what you need to know about marital debt.
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.