Key Takeaways
- K-1 EAD holders can legally purchase and operate existing US businesses
- SBA 7(a) acquisition loans unavailable to K-1 AOS holders -- Bankable fills the gap
- Revenue-based funding available for businesses with existing revenue history
- Buying an existing business eliminates startup risk -- revenue from day one
- Restaurants, salons, retail, and service businesses are common K-1 acquisitions
Buying an existing business is one of the smartest paths for K-1 entrepreneurs because you inherit established revenue, existing customers, and operational systems. You eliminate the highest-risk phase of business building -- the startup. The challenge: SBA 7(a) acquisition loans (the standard mechanism for buying small businesses) are unavailable to K-1 AOS holders. Bankable provides business acquisition funding for K-1 EAD holders from $50K to $5M, based on the target business's existing revenue, with 48-hour decisions and no green card requirement.
The K-1 Funding Challenge
- SBA 7(a) acquisition loans -- the standard funding mechanism for buying small businesses -- are unavailable to K-1 AOS holders
- Business acquisition prices range from $50K (small service business) to $10M+ (established businesses)
- Due diligence costs ($5K-$30K) must be paid before acquisition financing is confirmed
- Seller financing may cover part of the purchase price -- Bankable funds the balance
- Banks won't underwrite acquisition loans to K-1 holders citing immigration uncertainty
- Working capital is needed immediately post-acquisition before integrating new ownership
Bankable Solutions for K-1 Business Owners
- Business Acquisition Funding ($50K-$5M): Fund the purchase price based on the target business's existing revenue.
- Seller Note Bridge: If the seller takes back a note, Bankable can fund the balance of the purchase price.
- Post-Acquisition Working Capital: Fund operations in the first 90-180 days under new ownership.
- Acquisition Due Diligence Capital: Fund the legal, accounting, and business review process.
- Business Improvement Capital: Fund renovations, equipment upgrades, and marketing after acquisition.
Why Banks Fail K-1 Entrepreneurs
Traditional banks evaluate business loan applications through a lens built for citizens and permanent residents. They demand two or more years of US tax returns, a Social Security number with a long credit history, and often require a green card or citizenship as an unstated condition. K-1 holders in the adjustment of status period rarely meet all these criteria simultaneously.
Bankable funds revenue, not immigration documents. Check your Bankability Score in 5 minutes with no hard credit pull. Explore SBA alternatives and revenue-based products.
Revenue-Based Funding
Up to $5M tied to your monthly business revenue. No green card required. 48-hour decision.
Apply Now →Equipment Financing
Asset-backed funding for K-1 business owners. Fast approval, EAD-eligible.
Learn More →Working Capital Bridge
Bridge cash flow gaps during AOS. Flexible repayment tied to your revenue.
Check Score →Frequently Asked Questions
No. Bankable does not require a green card or US citizenship for any of its funding products. A valid EAD and a registered US business entity are the primary requirements.
Bankable makes decisions within 48 hours of receiving complete documentation. Funding typically arrives within 3-5 business days of approval.
SBA rules require all 20%+ business owners to be US citizens or lawful permanent residents. K-1 holders in AOS are excluded regardless of revenue or business quality. Bankable fills this gap.
Typically 3-6 months of business bank statements, your EIN, proof of business ownership, and your EAD. The Bankability Score tool provides a personalized document list in 5 minutes.
Yes. K-1 holders with EADs can purchase and operate existing US businesses in any industry (with certain regulated exceptions). There is no citizenship requirement for business ownership.
Bankable evaluates the target business's revenue history, cash flow, customer concentration, and business fundamentals -- independent of the K-1 holder's immigration status. Strong existing revenue is the primary qualification.
Yes. These are the most common types of businesses K-1 holders acquire. An existing restaurant with an established customer base and lease in place is an excellent Bankable acquisition candidate.
Many small business acquisitions involve seller financing (the seller holds back 10-30% of the purchase price as a note). Bankable funds the cash portion of the purchase, while the seller note covers the balance. This reduces the total cash needed upfront.