Best Practices: SOP Updates on Partial Changes of Ownership
https://starfieldsmith.com/wp-content/uploads/2025/01/fdafa7f0-a558-4cb4-8c29-cc480b75db48.mp3 One of the most drastic (and possibly most appreciated) changes to the SOP 50 10 7.1 was the addition of the ability to finance partial changes of ownership. This appears to be a highly utilized structure now that it is available and it provides small businesses with much needed options to finance transitions in ... Read More
Best Practices: New Rule Clarifying SBA Loan Participation with C-PACE Financing
https://starfieldsmith.com/wp-content/uploads/2025/01/8fa293c5-b47f-4bd2-a882-d394e79b619a.mp3 On December 6, 2024, the SBA issued Procedural Notice 5000-862692, clarifying that its 7(a) and 504 loan programs can be used in conjunction with Commercial Property Assessed Clean Energy (C-PACE) loans. C-PACE loans are specifically designed to finance improvements such as energy efficiency, renewable energy, and, in some states like Florida, wind resistance for ... Read More
Best Practices: A Quick Summary of Recent Updates to SBA Loan Programs
https://starfieldsmith.com/wp-content/uploads/2024/12/8ae26540-36d8-482b-bfdf-72c2369fe16f-1.mp3 December is not only one of the most magical times of the year, but also typically one of the busiest times for commercial lenders. With the demands of the season, it would be easy to miss critical updates to the U.S. Small Business Administration (“SBA”) lending programs. One such update was the issuance of ... Read More
Best Practices: Refinancing MCA Debt
https://starfieldsmith.com/wp-content/uploads/2024/12/2147d177-1c9e-432c-ac38-64f155df38ed-1.mp3 A current hot topic in SBA lending has been whether Merchant Cash Advance (“MCA”) debt is eligible for refinancing under SBA’s 7(a) guidelines. The growing demand to refinance these facilities combined with the fact that SOP 50 10 (the “SOP”) was silent as to whether these facilities could be refinanced, has, until recently, left ... Read More
Best Practices: Unpacking The New 7(A) Lender Matrix
https://starfieldsmith.com/wp-content/uploads/2024/12/e87f34b2-0d9c-40c2-b1b6-9cfa05627209.mp3 On November 5, 2024, the U.S. Small Business Administration (the “SBA”) Office of Financial Program Operations released an updated Servicing and Liquidation Actions 7(a) Lender Matrix (the “Matrix”). This new version 16 contains the first revisions to the Matrix in over four years — the last version being released by the SBA in February ... Read More
Best Practices: The Art of the Credit Bid
https://starfieldsmith.com/wp-content/uploads/2024/11/speech_20241119200052065.mp3 Many SBA lenders have experienced foreclosure sales, either judicial or non-judicial, and the request to set your credit bid. Since there are potential pitfalls during this process that can impact the SBA guaranty, lenders must be caution when determining their credit bid. The section on Credit Bids is located within Chapter 18 of SOP ... Read More
