Recently, we have been asked if equity injection from an applicant’s corporate affiliate can come in the form of a gift. The short answer is no. In addition to income…

Newly promulgated regulatory changes to the Eligible Passive Rule (“EPC/OC Rule”) took effect on September 20, 2017. Among them was a rather simple and welcomed change, allowing the use of…

Generally, SBA loans are made to operating businesses. An exception are loans made to Eligible Passive Companies (“EPCs”), those that use loan proceeds to acquire, and/or improve or renovate real…

Following an extensive review and consideration of public comments, the SBA stands poised to put into effect regulatory changes to the Eligible Passive Rule (“EPC/OC Rule”). Set to become effective…

Changes of ownership financed with SBA guaranteed loans are often structured as stock purchase transactions. Beyond the rigorous requirements imposed by the SBA, the transfer of fractional ownership interests from…

Among a handful of changes recently announced by the SBA to the 504 Debt Refinancing Program is one allowing a Borrower’s debt to be refinanced despite a recent change of…