Oftentimes, SBA loan proceeds are used to refinance business debt or finance the acquisition of business assets. When navigating these types of transactions, one of the most common pitfalls for…
During the current economic climate, many SBA borrowers have chosen to structure their business acquisition deals as an asset purchase rather than a stock purchase. The primary motive cited by…
Most participating lenders are aware that under the current version of the Standard Operating Procedure 50 10 6 (“SOP”), U.S. Small Business Administration (“SBA”) loan proceeds may be used to…
Although funding equity injection through a borrower’s affiliated entity is not an uncommon practice, lenders must exercise care in these circumstances. On many occasions, such transfers of funds from the…
Prior to the closing of an SBA loan, it is critical that lenders obtain appropriate documentation that the borrowing entity is in good standing. The best evidence to confirm active…
When financing an acquisition of real estate, the closing process will vary based on whether the transaction is consummated by way of a “table” closing or an “escrow” closing. Both…