One of the key benefits for lenders who offer SBA 7(a) loans to their small business customers is that the government guarantees a sizable portion of the loan. This guarantee can be up to 90% of the principal amount borrowed, providing the lender with a safety net in the case of a borrower default. However,
In December, we launched the SBA Atlas, a free online platform making historical SBA loan data more accessible than ever. The tool for lenders empowers users with custom dashboards, multi-level data filtering, and visual data presentations to efficiently understand the current world of SBA Lending. In this month’s Thirty-at-Noon webinar, our experts shared the playbook for
Over the last year, legislation has been passed to support businesses negatively impacted by the pandemic and to provide benefits to SBA borrowers. One significant piece of legislation was Section 1112 of the CARES Act passed in March of 2020, which provided payment relief to small businesses. Section 1112 provided $17 billion of “debt relief
The 2021 SBA lending program enhancements and payment subsidies have changed how many lending institutions are approaching traditional SBA lending. If your institution is new to the space or has many years of SBA experience, there are numerous benefits of the program that could lead to large increases in SBA lending activity: 90% guarantee until
As part of the Coronavirus Aid Relief and Economic Security (“CARES”) Act passed last March, the SBA’s Paycheck Protection Program (“PPP”) helped get funds into the hands of more than 5 million businesses in dire need of a lifeline in the midst of the COVID-19 crisis. With the pandemic continuing to surge heading into 2021,
This article highlights a brief thought process you may be experiencing when evaluating whether to start your own business or buy an existing business. Each path to business ownership is equipped with pros and cons, however buying an existing business has become increasingly popular for several reasons and SBA financing tends to be the perfect fit in many situations.