Build a Bankable Deal: Introducing The EDGE SMB Leveraged Buyout Calculator

Buying a business should not be guesswork. Your structure needs to work for you as the new owner and pass a lender’s cash flow test at the same time. The EDGE SMB Leveraged Buyout Calculator is a members-only Excel tool that shows you how to build a financing plan that cash flows, meets debt service coverage guidelines, and positions you as a credible borrower.

What the calculator gives you

• The maximum bank or SBA loan the target’s cash flow can support at a clear Debt Service Coverage (DSC) target

• Total monthly and annual debt service across senior debt and seller notes

• Total Cash Flow to Buyer after Debt Service so you know your real take-home

• The equity you need to bring and the ROI on that cash

• A balanced capital stack that can combine buyer cash, investor equity, seller financing, and bank debt

Why this matters to lenders

Banks fund predictable cash flow that comfortably covers debt service. When your request shows the right loan size, realistic terms, and an equity contribution that demonstrates commitment, you make the credit decision easier. The calculator helps you set the ask correctly and prove you understand DSC, amortization, and risk.

From idea to approval ready in four steps

1. Model the deal by entering price, estimated working capital, fees, and normalized cash flow

2. Tune the capital stack by adjusting equity, seller note size and terms, rate, and amortization until DSC clears the target

3. Validate your take-home by confirming post-debt cash flow meets your goals and supports your compensation

4. Package the scenario as a lender-friendly financing request you can use in conversations and your LOI

See it live at The Gathering Spot

Join us for The Private Equity Playbook: How You Can Buy a Million Dollar Business on Monday, October 14 at 5:00 PM at The Gathering Spot. We will use the calculator live to build a bankable financing request from scratch. Special guest MrsCashflows, Business Finance Strategist, will walk through practical ways our example buyer Michael can bridge an $80K down payment shortfall to acquire his dream HVAC company without derailing SBA eligibility.

Who should attend

First-time and repeat buyer-operators, ETA candidates and searchers, investors partnering with operators, and owners exploring a management buyout.

How to get the tool

Members receive the download during the session. Not a member yet? Join The Buyer’s EDGE Club to access the calculator, templates, and expert community year round.  This tool is free and more.  Join now and download.  Check out some good deal flow while you are in there.

Event Details

Million Dollar Acquisition Series:

The Private Equity Playbook

🗓️ October 14th, 2025 | 5:00 PM
📍 The Gathering Spot, Atlanta, GA

Seats are limited. Reserve yours today and learn how to fund your acquisition like Private Equity.

[Click here to register on Eventbrite]

Note: This seminar builds on the story from our previous event, How to Buy an HVAC Business. That session will be held again soon, so if you missed it the first time, you’ll have another chance to attend.

Ready to Execute Your Playbook?

Buying a business isn’t just about finding a deal—it’s about having the right tools, knowledge, and community to execute the plan.

Join The Buyer's Edge Club for Free and Get:

• Invitations to exclusive workshops & events

• Community updates and buyer-focused insights

Upgrade to a Paid Membership to Unlock:

• The Resource Library: Worksheets, LOI templates, diligence checklists.

• Curated Deal Flow: Early access to off-market opportunities.

• Advanced Training: Modules on acquisition strategy & financing.

• Direct Access: Q&A sessions with EDGE advisors.

Start your journey at thebuyersedge.club — upgrade any time.