What Underwriters Must Document for $10 Million SBA 7(a) and 504 Manufacturer Loans — 1/27
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A Coleman Training Webinar
Date: Tuesday, January 27, 2026
Time: 2:00 p.m. Eastern
Includes live session, case study materials, and recording
Upcoming legislative changes will likely expand the SBA’s ability to support larger manufacturing loans under the 7(a) and 504 programs, which would increase the maximum loan size to $10 million for eligible manufacturing borrowers. This expansion will reflect a policy focus on domestic production, supply chain resilience, and capital investment in U.S. manufacturing. As the SBA rolls out program guidance, lenders must understand which manufacturing industries qualify, how eligibility is defined, and how SBA expects these larger loans to be underwritten and documented under the existing SOP 50 10 8 framework.
Small business manufacturing is capital intensive, cyclical, and unforgiving of weak credit analysis. With the SBA to soon support 7(a) and 504 manufacturing loans up to $10 million, underwriters are expected to produce materially deeper, better-supported credit memos that fully comply with SOP 50 10 8 and the 104 required credit-memo items under SOP 5010.
For loans at $10 million, summary-level underwriting will no longer be sufficient. SBA expects lenders to demonstrate how cash flows are generated, how inventory converts to receivables and cash, how projections are supported by manufacturing benchmarks, and how collateral values are derived and supported. As loan size increases, documentation requirements increase, and weak analysis creates real guaranty risk.
This webinar is designed specifically for lenders planning to underwrite manufacturing loans at $10 million under the SBA 7(a) and 504 programs. The focus is not policy theory. It is practical credit-memo execution within the existing SOP framework.
Case Study Based Learning
All registered attendees will receive a $10 million manufacturing loan case study in advance of the webinar. During the session, we will work directly from this case study to demonstrate how a large manufacturing credit must be analyzed and documented. The case study reflects the level of analysis SBA expects to see in a lender credit memo for a $10 million loan.
Key Areas of Focus
Inventory valuation with particular emphasis on work-in-process inventory. This includes valuation methodology, costing assumptions, aging, conversion cycles, and risks unique to unfinished goods.
Advanced accounts receivable analysis beyond simple aging, including concentration risk, customer credit quality, contractual terms, retains, offsets, and verification procedures appropriate for a $10 million credit.
Advanced cash flow analysis reflecting manufacturing realities such as fixed-cost absorption, production cycles, seasonality, and operating leverage.
Advanced projection analysis supported by manufacturer-specific benchmarks. Projections must be tied to capacity utilization, throughput assumptions, margin stability, labor productivity, and historical performance.
Use of manufacturing benchmarks to validate assumptions, including inventory turns, gross-margin behavior, revenue per employee, and working-capital intensity.
Credit-memo structure for $10 million loans, showing how to clearly link assumptions, risks, mitigants, and repayment sources so both internal credit committees and SBA reviewers can follow the analysis without inference.
Collateral documentation expectations for $10 million manufacturing loans, including real estate, machinery and equipment, inventory, and accounts receivable.
How SOP 50 10 8 and the SOP 5010 credit-memo requirements apply with greater force at the $10 million level, and how missing or unsupported analysis can create guaranty exposure.
All in the context of what SBA demands in the credit memo:
- Cash flow as primary repayment source
- Global cash flow analysis
- Verification of financial projections
- Compensating factors for credit weaknesses
- Equity injection requirements
- Verification of equity sources
- Seller financing treatment
- Collateral adequacy standards
- Appraisal validity and timing
- Real estate and equipment valuations
- Guarantor and life insurance requirements
- Debt refinance rules
- Acceptable use of proceeds
- Environmental requirements
- Cash injection timing
- Credit memo documentation
- Exception documentation
- Servicing verification
- Post-closing oversight
- Delegated authority expectations
Who Should Attend
SBA underwriters, credit officers, portfolio managers, credit risk executives, and lending leadership responsible for approving, reviewing, or managing $10 million SBA manufacturing loans under the 7(a) and 504 programs.
This session is built for lenders who need their $10 million manufacturing credit memos to withstand internal committee review, SBA scrutiny, and post-closing examination without exception.
Your Training Staff
Michael Bland
Michael Bland is a 30-year SBA veteran. He is the Chief Credit Officer for Phoenix Lender Services, which provide LSP services to Community Bank & Trust – W Georgia, now the 35th largest SBA lender in the country. He was the Chief Credit Officer and Chief Operating Officer for Fountainhead SBF LLC, as well as the interim CEO. Michael served as the Head of SBA Lending for TCF Bank, and prior to that was a credit manager for a number of institutions. Recognized for his credit performance over the years, he has worked at Zions Bank, The Bancorp, Banco Popular, and other national and regional lenders.
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.
How the Webinar Works
We use Microsoft Teams as the webinar platform. 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 when we distribute the presentation and handouts shortly before the webinar.
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 QuickBooks $500 or QuickBooks $800
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3) PHONE — Call us at 818-790-4591.
Bob Coleman
Publisher, Coleman Report
bob@colemanreport.com