September 1, 2020
By: Caity (née Witucki)
Contributing Editor, Hot Topic Tuesday
Hot Topic Tuesday – SBA Releases SOP 50 10 6
The SBA has released the 6th version of its standard operating procedures (SOP 50 10 6) along with a summary of some of the significant procedural updates. This update to the SOP provides additional guidance and incorporates revisions to conform to changes in SBA regulations and loan program requirements including, but not limited to:
- The final rule on new 504 Loan Program corporate governance requirements.
- SBA policy on 7(a) and 504 loan program appraisal requirements.
- Procedural changes that expedite the FBI fingerprint review process for SBA Loan Programs.
- Guidance on revised IRS Form 4506-T, “Request for Transcript of Tax Return.”
- Guidance on revised SBA Form 750, Loan Guaranty Agreement.
- Continued efforts to revise SBA forms.
In addition, the new SOP includes an updated format and enhanced navigational features. The format of the SOP has been reorganized to emphasize core 7(a) and 504 Loan Program Requirements and to consolidate guidance based on loan delivery methods and procedural requirements. The first section in the new SOP now focuses on SBA Lender participation and portfolio requirements while the second section is divided into three parts: core requirements for all 7(a) and 504 loans, 7(a) loan program-specific requirements, and 504 loan program-specific requirements.
The SOP 50 10 6 will become effective October 1, 2020, and will apply to all applications received by SBA on or after that date. Participants must continue to use SOP 50 10 5(K) for SBA 7(a) and 504 applications submitted through September 30, 2020.