From October 28-30, Joanne Badr Morgan and Lance Martin attended the National Association of Government Guaranteed Lenders ("NAGGL") Annual Conference in New Orleans, Louisiana.
The NAGGL supports the interests of the lending community that utilizes SBA business loan programs, particularly the SBA 7(a) program. The Annual Conference is the largest of its kind, bringing together lenders and service providers from across the country to discuss trends and issues in the SBA lending sector. Last year, the SBA guaranteed almost $30 billion in small business loans.
The Annual Conference is an indispensable opportunity to talk to and hear from the decision makers within the SBA, including the SBA Acting Administrator and SBA General Counsel, and several SBA regional administrators and high-level employees from the Office of Credit and Risk Management and Office of Financial Assistance.
The conference offered information sessions on SBA loan-specific issues, such as:
- Equity requirements for 7(a) loans (i.e., what types of equity injections the SBA will approve);
- SBA's oversight processes;
- Best practices for documenting a borrower's evidence of insurance;
- What to do when an obligor files bankruptcy;
- 7(a) secondary market trends;
- Recognizing eligible and ineligible passive businesses; and
- Monitoring loans after final disbursement.
The conference also provided a sneak peek at the forthcoming Standard Operating Procedure SOP 50 10 6, and the proposed revisions to the rules and regulations that govern the SBA's 7(a) and CDC/504 loan programs.
The conference also showcased the SBA's new Lender Match program – an online referral tool that connects small business loan applicants and SBA lenders.
Joanne Badr Morgan routinely represents banks and other financial institutions in SBA loan transactions, and Lance Martin routinely represents banks and other financial institutions in bankruptcy and default litigation. If you have questions about SBA lending, please contact them.