This seminar presents an overview of the SBA’s ‘workhorse’ credit enhancement option, the 7(a) Loan Guaranty program, which can be used to finance virtually any business capital need. The discussion will describe the 7(a) program’s opportunities, participation requirements, borrower profiles, eligibility constraints, lender obligations, and borrower benefits.
Participants will get a soup-to-nuts explanation about how SBA 7(a) loans can serve as a competitive tool to provide client solutions while improving the bank profitability and portfolio quality at the same time. Participants will learn:
- How to deploy 7(a) loans effectively to manage a broad list of client needs with custom-fit solutions under the umbrella of a government guarantee
- How participating lenders can boost earnings immediately with an aggressive secondary market using an efficient credit enhancement tool that lowers portfolio risk
- 7(a) loan program size limitations and the various borrower qualification parameters
- Key insights into underwriting, documentation and accountability to guide management and policy considerations
- Selective situations where loan guarantees can be strategic in managing credit underwriting / client conflicts
- Definitive views of an experienced commercial banker with more than $300 million of direct participation in guaranteed lending
Target Audience:
Business development officers, business loan underwriters, loan analysts, credit officers, risk management officers.
