Legal Considerations for Small Business Owners
Empower your small business with expert legal guidance from the SBA attorneys at Protect Law Group. Learn more about legal considerations today!
Review considerations for finding an attorney to assist with SBA loan default and an offer in compromise, including evaluating legal help.
Book a Consultation CallWhen a person is facing legal issues because of an SBA loan default, finding legal help can be an intimidating prospect. Below are resources and strategies to help potential clients find the right lawyer after receiving an SBA demand letter.
Many lawyers focus their efforts on a certain area of law. Debt relief attorneys typically work in the consumer, bankruptcy or legal defense areas. It is normal for clients to not know exactly what they need when choosing an attorney. Although some lawyers work in a specific area, most work with those who have multiple problems. For example, when an attorney evaluates a client’s finances, they may suggest a Tax Offset Program rather than litigation. Similarly, a litigator may recommend bankruptcy.
If a person needs a debt help lawyer to assist with an SBA loan foreclosure, they can start in the following places.
Many debt relief attorneys offer free or low-cost consultations, and some hold meetings over the phone. Clients should be ready to discuss the SBA Offer in Compromise. A competent attorney will consider the client’s financial status before offering specific advice. During the initial meeting, the client should ask the lawyer which services are provided and what the costs will be. While it may be tempting to hire a debt settlement company, clients should consider that these firms are not staffed by lawyers and they cannot offer legal advice.
Millions of Dollars in SBA Debts Resolved via Offer in Compromise and Negotiated Repayment Agreements without our Clients filing for Bankruptcy or Facing Home Foreclosure
Millions of Dollars in Treasury Debts Defended Against via AWG Hearings, Treasury Offset Program Resolution, Cross-servicing Disputes, Private Collection Agency Representation, Compromise Offers and Negotiated Repayment Agreements
Our Attorneys are Authorized by the Agency Practice Act to Represent Federal Debtors Nationwide before the SBA, The SBA Office of Hearings and Appeals, the Treasury Department, and the Bureau of Fiscal Service.
Our firm successfully resolved an SBA COVID-19 Economic Injury Disaster Loan (EIDL) default in the amount of $150,000 on behalf of Illinois-based client. After the business permanently closed due to the economic impacts of the pandemic, the owners faced potential personal liability if the business collateral was not liquidated properly under the SBA Security Agreement.
We guided the client through the SBA’s Business Closure Review process, prepared a comprehensive financial submission, and negotiated directly with the SBA to release the collateral securing the loan. The borrower satisfied their collateral obligations with a payment of $2,075, resolving the SBA’s security interest.
Clients personally guaranteed an SBA 504 loan balance of $337,000. The Third Party Lender had obtained a Judgment against the clients. We represented clients before the SBA and negotiated an SBA OIC that was accepted for $30,000.
Clients personally guaranteed SBA 504 loan balance of $750,000. Clients also pledged the business’s equipment/inventory and their home as additional collateral. Clients had agreed to a voluntary sale of their home to pay down the balance. We intervened and rejected the proposed home sale. Instead, we negotiated an acceptable term repayment agreement and release of lien on the home.
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