The Top 30 SBA 7(a) Loan Exceptions Found in 2023 – A Coleman Webinar 6/12
Mistakes Lenders Need to Avoid that Jeopardize the SBA 7(a) Loan Guaranty
Attend the Live Webinar Event
Wednesday, June 12, 2024
2:00 PM Eastern
75-minute training with e-certification
Juggling the management of your SBA lending department and loan portfolio is challenging and difficult — but rewarding on a number of levels for everyone when a plan is successfully executed.
But, at the end of the day, the number one priority is to ensure the SBA loan guaranty is valid — on each and every loan.
Coleman’s co-webinar instructors are here to help to ensure you achieve this goal. Lance Sexton and Leslie Tripp will present the top 30 SBA loan exceptions they are tracking in 2024.
Leslie will bring her expertise as a loan portfolio reviewer from her audits performed in 2023 and Lance will add his experience over the years of preparing the paperwork to collect on SBA’s loan guaranty.
You will learn the top reasons for SBA 7(a) loan guaranty and denial.
We’ll start with the following SBA posted topics and Lance and Leslie will add their own findings on:
- Lien and collateral issues that result in missed recoveries (generally a repair) include:
- Failure to obtain required lien position
- Failure to properly perfect security interest
- Failure to fully collateralize loan at origination when additional collateral was available
- Unauthorized use of proceeds:
- Proceeds disbursed for purpose(s) inconsistent with the loan authorization or subsequent modifications without a business justification. (Could be a Denial if early default and improper use of proceeds caused the failure of the business)
- Same lender Non-SBA loan paid with PLP loan proceeds (preference)
- Liquidation deficiencies (generally a repair unless harm is the full value of the outstanding balance):
- Failure to conduct site visit which resulted in missed recoveries
- Improper safeguarding or disposition of collateral which resulted in missed recoveries
- Misapplication of recoveries to lender’s loan when SBA-guaranteed loan has lien priority
- Undocumented servicing actions (generally a repair):
- Liens not properly renewed during servicing on worthwhile collateral
- Release or subordination of collateral without documented business justification
- Allowing hazard insurance to lapse on major collateral and collateral was subsequently destroyed
- Failure to maintain life insurance on principal and principal subsequently dies
- Early defaults (denial if determined to be reason for business failure):
- Missing or unsupported verification of required equity injection (includes verification of source in some cases)
- Missing or unsupported documentation of verification of borrower financial information with IRS when financial information was relied on in lender’s credit analysis
- SBA loan eligibility (denial):
- Ineligible franchise
- Ineligible loan purpose
- Ineligible loan recipient (loan to an associate of lender)
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.
Your Training Staff
Lance Sexton, Coleman Faculty Instructor
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.
Leslie Tripp, Director of SBA Consulting, Doeren Mayhew
With 30 years of industry experience, Leslie specializes in delivering Small Business Administration (SBA) 7(a) loan compliance services to lending institutions across the nation.
Dedicating her career to all things lending, Leslie discovered her niche was with SBA loan compliance. Her background of working with financial institutions, and even at the FDIC, uniquely positions her to help provide guidance and valuable insights to client engagements.
An SBA compliance veteran, Leslie and her team at Doeren Mayhew have participated in more than 16,000 SBA loan reviews helping lenders remain compliant with the SBA’s Standard Operating Procedures (SOPs). Recognizing the need for an automated SBA loan compliance system, she pioneered GOLoan Review software, designed to identify SOP compliance exceptions. Understanding the complexities surrounding SBA loans, Leslie and her team also provide additional solutions to clients, including post-closing loan reviews, SBA exam preparation, lender staff training, SBA credit policy design, Federal regulation compliance reviews, business valuations and Universal Purchase Package support.
Leslie’s profound expertise, combined with her expansive industry background, helps clients avoid regulatory scrutiny and achieve SBA compliance success.
Bob Coleman is the Author of “Money Money Everywhere and Not a Drop for Main Street.” He 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.
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
Founder & Publisher