Franchise lending continues to be a hot topic amongst SBA lenders, as they set new policies and procedures for determining eligibility of franchise concepts and documenting their loan…
SBA has dramatically changed the way lenders process franchise loans under the SOP 50 10 7.1 (“SOP”). Lenders no longer need to review franchise documentation for affiliation in…
After loan disbursement, SBA lenders are often asked by borrowers to subordinate the position of a lien securing an SBA loan. Lenders must consider these subordination requests in…
SBA loans secured by junior liens on collateral are subject to the rights of senior lienholders in such collateral. SBA requires lenders to take prudent and commercially reasonable…
One of SBA’s core requirements for all 7(a) and 504 loans is to verify and document the unavailability of credit on reasonable terms from non-federal, non-state, and non-local…
Prior to disbursement of Loan proceeds of an SBA 7(a) loan, all SBA lenders must obtain certain due diligence information from the small business applicant to comply with the terms…