Posts Tagged ‘SBA Audit’
SBA Hot Topic Tuesday – SBA Loan Officers Make Mistakes Too
September 9, 2014 By Bob Coleman Editor, Coleman Report This is fifth and last installment of our coverage of the June SBA Inspector General audit of SBA approval on non PLP 7(a) loans. SBA’s Loan Guaranty Processing Center approved a $2 million 7(a) loan that refinanced same-institution debt and transferred the loss from the lender…
Read MoreSBA Hot Topic Tuesday – Inspector General Case Study of an Early Defaulted SBA Loan
August 12, 2014 By Bob Coleman Editor, Coleman Report Our fourth case study installment of SBA Inspector General audit criticism of the Loan Guaranty Processing Center in Citrus Heights is about cash flow projections. SBA’s Loan Guaranty Processing Center approved an SBA 7(a) $1.9 million loan in 2011. The loan defaulted 14 months later and…
Read MoreSBA Hot Topic Tuesday – The Importance of Underwriting Cash Flow Projections
July 29, 2014 By Bob Coleman Editor, Coleman Report Our third installment of SBA Inspector General audit criticism of the Loan Guaranty Processing Center in Citrus Heights is about cash flow projections. Specifically, prudent lenders must credit underwrite cash flow projections to assess if the numbers are reasonable. In 2011, SBA approved a $243,000 based…
Read MoreSBA Hot Topic Tuesday – A Monday Morning Quarterback Face Palm
July 15, 2014 By Bob Coleman Editor, Coleman Report I know I have criticized SBA’s Inspector General for pushing the envelope far too many times in questioning lender decisions after the loan defaults. However, I think we can all agree, except for the lender and SBA of course, that this case study is a mess…
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