SBA Hot Topic Tuesday: BayFirst Current on SBA 7(a) Obligations Says CEO 

April 7, 2026

Bob Coleman
Founder & Publisher

SBA Hot Topic Tuesday: BayFirst Current on SBA 7(a) Obligations Says CEO 

The following is a letter I received from BayFirst President & CEO Tom Zernick. With his approval, I am publishing his response to our previous reporting, clarifying BayFirst is current with its SBA obligations and no payments are outstanding to the agency.

Good morning, Bob:

I’m writing to address several aspects of your recent piece on BayFirst’s SBA 7(a) guaranty purchases, as the analysis creates misleading implications about BayFirst’s practices and intent.

BayFirst has consistently met its financial obligations to the SBA. Over many years of participation in the program, we have valued our partnership with the SBA and maintained a strong record of timely payment of all receivables due to the agency.

As you noted, guaranty purchases may include accrued interest (up to 120 days) as well as certain pre-approved recovery and litigation expenses. As a result, total payments exceeding the guaranteed principal are a standard outcome of the program and do not indicate overpayment, anomaly, or any incentive tied to loan performance.

That said, from time to time, the SBA may determine that amounts are due back, which is part of the normal course of the program. In those instances, we are invoiced and promptly remit any amounts owed. Consistent with this ongoing reconciliation process, at the time of our exit from SBA originations in December 2025, BayFirst confirmed with the SBA that all accounts were fully current. We remain committed to the timely settlement of any receivables due to the agency.

We request that this additional context be reflected in your coverage to ensure an accurate understanding of SBA program mechanics and BayFirst’s position. We are available to provide further detail if needed.

Thank you for your time and consideration.

Respectfully submitted, Tom Zernick, CEO