April 5, 2018

By Bob Coleman
Editor, Coleman Report

SBA NEWS FLASH — SBA Eliminates Credit Elsewhere Test for those Who Own Less than 20% of the Small Business Applicant

Effective April 3rd for SBA 7(a) and 504 loans.

SBA is increasing the minimum percentage ownership at which owners are subject to personal liquidity consideration from 10% to 20%. As a reminder, the liquidity of the owner includes the liquid assets of the owner’s spouse and any minor children.

Read the policy notice here