our deal was wild -- if we (new owners) missed 2 payments, the whole company went back to the original owner.

although a bit extreme, this is a powerful way to convince a seller to consider Seller Side Financing. it's not without some risk, of course, as the new owners could drive a business into the ground, thereby reducing revenue, thereby becoming unable to make payments.

so you could be returning a "dud" to the original owner. but with a few more provisions in this kind of agreement, such as making the former owner a board member, and requiring unanimous votes for big decisions, this too can be mitigated.