How to Underwrite the SBA Business Acquisition Loan — Webinar 7/17
How to Underwrite the SBA Business Acquisition Loan
Are you Maximizing Lending in this Profitable Niche?
A Coleman Webinar
Date: Wednesday, July 17, 2024
Time: 2:00 p.m. Eastern
a 75-minute webinar that lets staff earn e-certification
Ten Thousand Baby Boomers retire every day. And they own 40% of United States Small Businesses.
Comprising 24% of SBA loan dollars and 12% of the number of SBA loans, loans for financing existing businesses should be an important part of your SBA’s loan department strategy.
However, there are traps in approving and funding these loans. The Office of Inspector General warns lenders the highest incident of loan fraud is with biz aq loans. Biz Aq loans also have the highest incident of SBA lender errors in underwriting, closing and servicing — resulting in SBA 7(a) guaranty repairs and denials.
Since intangible “goodwill” is often a part of the purchase price it is difficult to approve financing for these transactions as most lack 100% collateral coverage for the loan amount.
Enter the SBA 7(a) guarantee to cover collateral shortfalls. And SBA 504 loans require less equity than conventional loans.
This is an excellent loan product that underwritten prudently creates an excellent earning asset for the lender, associated banking opportunities with the new owners and employees and retains or creates jobs for your local Main Street.
Webinar Content:
● Structuring the Biz Aq Loan
● Prudent Underwriting Standards
● Financial Analysis compliance with SOP 5010 6
● SBA Credit Memo compliance for loans over $350,000
● SBA Credit Memo compliance for loans less than $350,000
● Goodwill and Collateral Issues
● PPP Loan and EIDL Loan Issues in Calculating Cash Flow
● Amount of SBA Equity Injection Requirements
● The Seller-Carryback Loan
● Fees
● Allowable Maturity
● Business Valuations e.g. 2022 values vs 2019 values
● Real Estate Appraisals
● What to do if the PPP Note is not fully forgiven
● PLP vs GP Submissions
● What CCO’s and Loan Committees Need to Know in Approving the Biz Aq Loan
● SBA Franchise Loan Requirement
● Underwriting COVID Factors to document
● Items the Underwriter Must Review Before Closing
Your Training Staff
Lance Sexton
A former small business owner, Lance Sexton has a successful history of working with small business owners and students related to entrepreneurship and SBA loan origination, servicing, and liquidation. He has received three training industry awards for his webinar instruction and his 8-week loan closing course. Lance has over 30 years of experience, including ten years directly managing portfolios of SBA loans. Lance was an entrepreneurship faculty member of the Sam M. Walton College of Business at the University of Arkansas. He is an Executive Vice President of Fountainhead Commercial Capital and has been affiliated with Coleman Publishing for over eight years.
Bob Coleman
Bob Coleman is the founder of Coleman Publishing, a publisher of newsletters, reports, data, conferences, webinars, online training videos — to help finance professionals become small business lending experts. Bob is the nationally recognized expert on small business financing. He has appeared frequently on Fox Business News, NPR and other numerous media outlets. He is sourced by all print media. He is a frequent speaker about small business lending throughout the US and EU. Bob has a BA in Medieval History from the University of California Santa Barbara and a MBA in Real Estate Finance from the University of Southern California. Bob has earned numerous awards as a producer of events and video training. His passion is getting capital to Main Street and Rural American small business.
Coleman Report Webinar Benefits:
- Coleman Report webinars provide solutions to problems that left unaddressed will jeopardize the SBA loan guarantee.
- We give management the tools to create prudent credit boxes compliant with SBA’s standard operating procedures.
- We train your staff to ensure compliance of existing and new SBA rules and regulations.
- Tips that solve difficult SBA underwriting, servicing and liquidation challenges.
How the Webinar Works
We use Microsoft Teams as the webinar platform.
We will open the webinar for attendees to join at 1:30 pm ET. This will give each attendee thirty minutes before the webinar begins to troubleshoot any technical issues. Call (818) 790-4591 if you need assistance.
Recording
All Coleman webinars are recorded and a link is sent to all attendees.
Single Site License
The single site license grants your institution one viewing of the webinar. It is permissible to use a single site license on one device in a conference room to be viewed by multiple attendees The webinar can be viewed on any device.
Multiple Site License
A multiple site license is an unlimited access pass for anyone at your institution. You will be given a link that will be usable to anyone with your email domain.
Webinar Links and Handouts
The webinar link will be included on your sales receipt.
The link will also be included when we send the presentation and handouts. These will be sent by eod the day before.
Participants Earn Certificates of Participation
All Coleman Webinar attendees will receive a certificate of participation. This documents your continuing education history for SBA and your regulators.
Questions
Questions throughout the webinar are strongly encouraged. There are two ways to ask a question. The first is to ask the question via the chat in Microsoft Teams. The second is to send an email to anna@colemanreport.com. Also, feel free to ask pre and post-webinar questions.
The Fine Print
1) Substitutions are allowed at no charge.
2) Cancellations receive a 100% credit for any Coleman product.
3) As with all our products, we offer a 100% money back satisfaction guarantee — no questions asked.
3 Easy Ways to Order
1) ONLINE — Register and pay online via Stripe
2) EMAIL –Send an email to cindy@colemanreport.com with “Webinar Registration” in the Subject Line. We will do all the paperwork and either send you a sales receipt or an invoice.
3) PHONE — Call us at 818-790-4591.
Bob Coleman
Publisher, Coleman Report
bob@colemanreport.com