Best Practices: A Review of Equity Injection Requirements Under SOP 50 10 8
https://starfieldsmith.com/wp-content/uploads/2025/05/d864319d-22e0-465b-af53-57600298c378.mp3 With the issuance of SOP 50 10 8, effective June 1, 2025, the SBA will be returning to well-established principles of equity injection. The SBA has eliminated the “do what you do” component to equity injection which was established in SOP 50 10 7.1. The Borrower once again will need to show that it ... Read More
Best Practices: Re-evaluating Policies and Procedures Regarding Site Visits
https://starfieldsmith.com/wp-content/uploads/2025/04/dddcd492-f03c-46f3-93c7-c0e6c61478d1.mp3 It is well established that the Small Business Administration (SBA) currently requires lenders to conduct a site visit when a loan is in default. However, lenders often have questions and obstacles related to how and when to obtain a site visit. Here, we will discuss best practices as well as options for lenders to ... Read More
Best Practices: SBA Issues SOP 50 10 8
https://starfieldsmith.com/wp-content/uploads/2025/04/4dea3489-0872-4318-9cfa-7aa38a5a64da.mp3 “Sooner or later, everything old is new again.” -Stephen King, The Colorado Kid On April 22, 2025, SBA issued Information Notice 5000-866746 announcing the issuance of the much-anticipated SOP 50 10 8. Per the Notice, this revised SOP which becomes effective on June 1, 2025 largely reinstates “requirements that were in place before ... Read More
Best Practices: When is a Loan Ready to be Sold on the Secondary Market?
https://starfieldsmith.com/wp-content/uploads/2025/04/01f3d2fc-a438-4e8c-8d88-53ba682f5872.mp3 Selling loans on the SBA 7(a) Loan Secondary Market is a critical part of some SBA Lenders’ business strategy. An important step to understanding the conditions upon which a loan may be sold on the Secondary Market is to review the Lender certifications in SBA Form 1086 – Secondary Participation Guaranty Agreement. In addition ... Read More
Best Practices: Meeting the Burden of Proof in SBA Guaranty Purchase Requests
https://starfieldsmith.com/wp-content/uploads/2025/04/speech_20250408202808936.mp3 In the American criminal justice system, defendants benefit from a presumption of innocence—a principle rooted in the Fifth and Fourteenth Amendments and cemented in public consciousness through media portrayals of courtroom proceedings. However, this standard of proof applies exclusively to criminal matters and does not extend to other interactions with the government, such as ... Read More
Best Practices: SBA Continues To Make Progress On Addressing COVID-19 Fraud Recommendations
https://starfieldsmith.com/wp-content/uploads/2025/04/db8bca7d-3cf4-4b3a-a1aa-557f96fa1e62.mp3 While the SBA’s current focus is adjusting to a new administration and protecting the zero-subsidy status of the program through the adjustments to the 7(a) Lender’s Annual Service Fee and the SBA Guaranty Fee (see SBA Information Notice 5000-8657858 effective March 24, 2025), it is also continuing to address the 77 pandemic-related recommendations it ... Read More
