Correctly Calculate Global Cash Flow the SBA Way — SOP 50 10 5 (K)

Correctly Calculate Global Cash Flow the SBA Way — SOP 50 10 5 (K)
Don’t Void Your SBA Guaranty with Improper Cash Flow Add Backs — a 75-minute webinar that allows your staff to earn e-certification.

A Coleman Webinar
Date: Wednesday, October 2, 2019
Time: 2:00 p.m. Eastern

Go to Registration and Payment | Download a Registration Form

SBA 7(a) and 504 loan underwriters must know the required cash flow adjustments demanded by SBA to correctly calculate your borrower’s repayment ability.

This webinar will teach you exactly how to calculate cash flow so you don’t make a mistake that voids the SBA loan guaranty.

A lender was criticized by SBA’s Inspector General for failing to correctly calculate global cash flow and recommended denial of the guaranty.

The OIG wrote, “The lender did not approve the loan in accordance with SBA’s origination and closing requirements. Specifically, the lender did not consider the impact that affiliated businesses—owned by the borrower’s president—had on loan repayment ability. Additionally, the loan file did not provide the cash flow needs of the borrower’s president; therefore, we were unable to determine its impact on repayment ability. Further, the lender used questionable financial information and unsupported projections in its repayment ability analysis. Based on these deficiencies, the lender did not demonstrate reasonable assurance of repayment for the SBA loan.”

Your problem is SBA’s SOP tells you what to do, but not how to do it.

SBA 7(a) and 504 loan underwriters MUST document additions and subtractions to cash flow such as the following:

(a) Unfunded capital expenditures;
(b) Non-recurring income;
(c) Expenses and distributions;
(d) Distributions for S-Corp taxes;
(e) Rent payments;
(f) Owner’s Draw; and/or
(g) Global cash flow analysis that includes assessment of impact on cash flow to/from any affiliate business

Bob Coleman will discuss each sub point in detail to tell you what exactly SBA expects.

Importantly, he’ll review SBA’s affiliate rules and how to use the small business borrower’s tax returns to calculate global cash flow.

Ensure your SBA Loan Underwriters Know How to Calculate Global Cash Flow to be Compliant with SBA’s SOP 50 10 5 (K)

Your staff will be able to confidently complete SBA form 1920 certifying the borrower is eligible for SBA financing.

SBA 7(a) and 504 loan underwriters MUST document additions and subtractions to cash flow such as the following:
  • Calculating global cash flow with business and and personal tax returns
  • Determining affiliates affected by SBA’s global cash flow rules
  • Permissible SBA cash flow add backs
  • Mandatory SBA cash flow subtractions
  • Defining SBA’s debt service coverage
  • Global cash flow rules for loans over $350,0000
  • Global cash flow rules for loans less than $350,000
  • Global cash flow rules for SBA Express loans
  • Determining unfunded capital expenditures;
  • Defining non-recurring income;
  • Taxes and global cash flow
 Taught by National SBA Experts
  • head_coleman

    Bob Coleman, Publisher, Coleman Report

  • head_teckler

    Lance Sexton, Coleman Faculty Instructor

Lance Sexton served as Deputy Director of the SBA Little Rock Commercial Loan Servicing Center managing the Servicing of SBA Loans, the liquidation of SBA Express Loans, and the Liquidation of SBA 504 loans in a 24 state area. Lance has 30 years of experience in the origination, servicing, and liquidation of SBA Loans, ten years of experience directly managing portfolios of SBA loans that are both performing and nonperforming, and six years of experience as a small business owner.

Bob Coleman is the Author of “Money Money Everywhere and Not a Drop for Main Street.” He is the Publisher of the Coleman Report, a trade newsletter and website for SBA and small business lenders. He produces online training videos and webinars for small business lenders to teach them to make less risky loans to Main Street.

Webinar Details

Certificates of Participation
All Coleman Webinar attendees will receive a certificate of participation. This documents your continuing education history for SBA and your regulators.

We will automatically forward a certificate of participation for those who are registered to attend the webinar via GoToWebinar.

If you have purchased the unlimited site license and would like certificates for all who attend simply forward their names and email addresses to She will email the certificates to all attendees.

Questions are strongly encouraged. There are two ways to ask a question. The first is to ask the question via the chat box on the GoToWebinar dashboard. The second way is to send an email to Also, feel free to ask pre-webinar questions.

About Coleman Webinars
Coleman is the largest producer of small business banking video webinars and online training for the banking industry.

Our faculty are professional instructors are the absolute experts in their fields.

Why a Coleman Training Webinar?
It’s very cost effective. No airfare, no hotels. Just cram as many people as you wish into your conference room and turn on the computer. You have several options to view the program. You may watch on screen, or listen in on your phone.

You can choose to have any many connections nationwide as you wish when you purchase unlimited access for only $589.

A great benefit of the program is that you may have your questions answered by the faculty. All of our webinars are recorded. Buyers of the unlimited site license option will receive a DVD recording of the event to share with anyone you wish.

A transcript of the program is also provided to purchasers of the unlimited site license.

How it Works
We use GoToWebinar for the webinar platform. You will receive a link that will direct you to an Internet site to view the presentation. If you would like to test this process to make sure you will be able to access the link through your system’s firewall, just send an email to, and he will schedule a test run.

Accessing GoToWebinar
There are two ways to access the webinar. The first is to simply click on the link we will provide when you register.

If you have a firewall issue, or you can’t get the GoToWebinar link to work, don’t panic!

The second way to access the webinar is directly from the GoToWebinar website. You will simply need to input the webinar ID and access code. These will also be provided when you register, and again the day before the webinar when we distribute the handouts.

Note we will open the webinar for attendees to join at 12:00pm ET. This will give each attendee two full hours before the webinar begins to troubleshoot any technical issues. Call (818) 790-4591 if you need assistance.

All Coleman Webinar Speakers are seen Live via Video Stream
You will see our speakers live through a video feed. You may customize the size of the speaker and PowerPoint presentations by clicking on the webcam button on the GoToWebinar dashboard. You may position the speakers at the top, bottom, right or left hand sides. You may also choose to eliminate the video stream and just view the PowerPoint.

Telephone Only Option
You may also choose to listen to the program on your telephone. The phone number will be provided with the handouts.

PDF Handouts
You will receive the PDF handout via email the day before the event. These may be distributed to all of your attendees.

Replay Link
If something comes up and you miss any part of the webinar, or there are technical issues such as a power failure, Internet dropout, fire alarm drills, actual fires or, earthquake (yes that has happened!) simply email and he will send you a link you may watch all or part of the webinar at your leisure. There is no charge for this service.

The Fine Print
1) The single user registration fee of $489 is based on location not attendance. You may have as many people in one location attend. You may distribute the materials to anybody in your company.
2) For only $100 more ($589), you may invite as many people from your institution from as many locations as you wish. (You also get the reply link and transcript!) We will forward you a link that allows you to sign up as many people as you wish.
3) Substitutions are allowed at no charge.
4) Cancellations receive a 100% credit for any Coleman product.
5) As with all our products, we offer a 100% money back satisfaction guaranty — no questions asked.

Five Easy Ways to Order!

1) Previous customers need only to send an email to with “Register 60-Days Delinquent Webinar” in Subject Line. We will do all the paperwork and charge your credit card on file, or send you a PayPal request.
2) Call Joseph Coleman at Customer Service at 818-790-4591 extension 1
3) Fax the order form to: 818-790-7859
4) Mail the order form to: Coleman Publishing, 28081 Marguerite Pkwy #4525, Mission Viejo, CA 92690
5) Click “Add to Cart” to pay using PayPal

Correctly Calculate Global Cash Flow the SBA Way

Bob Coleman
Editor, Coleman Report
28081 Marguerite Pkwy, #4525
Mission Viejo, CA 92690-4525
(818) 790-4591
(c) 2019 All Rights Reserved