# Seller note

Part of the price the seller finances, repaid to them after closing.

A listing that says seller financing or owner financing means this. It keeps the seller invested in a clean handoff and stretches your cash across the gap the bank will not cover, which is why almost every SBA deal carries one. But when the note counts toward your [equity injection](https://searchspheresource.com/glossary/equity-injection) it falls under strict standby rules, so how it is structured decides whether it actually lowers the cash you bring to close. If a seller will not carry one, that money comes from somewhere else: a larger injection out of your own pocket, or a lender willing to size the loan higher against the same cash flow. The standby route disappears with the note, so the part of a standby note counted toward the injection has to be replaced dollar for dollar, usually from your own cash.

In numbers: On a $4M purchase, $400k of buyer cash plus a $600k seller note leaves $3M for the bank loan; the note keeps the seller answering the phone through the transition.

Source: https://searchspheresource.com/glossary/seller-note
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