SBA Loan Problems: Barriers to the Small Business Loan Market
We provide people who are facing an SBA loan default with solutions. We analyze SBA loan problems and provide solutions such as an SBA offer in compromise.
If you are facing an SBA default, you don't necessarily need a SBA lawyer. However, with your financial future on the line, it's probably a good idea to retain one. Protect Law Group offers SBA debt resolution help for small business owners facing an SBA loan default in California. Below, we'll offer tips on how to choose the right SBA lawyer for you. Call for a free consultation today!
Experience is key when dealing with the SBA, SBA lenders, and the applicable laws. You'll also want one who is intimately familiar with the Offer in Compromise process in case you will go that route.
For small business owners facing an SBA default, money is an issue. The last thing you want is to spend every last spare dime defending all of your other dimes left. Typically, about 10% of the amount that your SBA lawyer saved you is a fair fee for their services.
While most SBA lawyers are looking to help small business owners, some will take advantage of your situation, especially if it's turned to desperation. Ensure your SBA attorney is offering you the best advice and following the law. They also should not be charging large upfront fees.
Are you comfortable with your SBA lawyer? At the end of the day, this person is potentially holding your financial future in their hands. Do you trust them? Most SBA lawyers offer free consultations. Call up a few and see what you think. Are they optimistic? Do they sound knowledgeable? Can you work with them throughout the duration of your case?
Protect Law Group offers experience and know-how when it comes to ensuring you have the most favorable outcome for your SBA case. Call for a free consultation today!
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.
Client personally guaranteed SBA 7(a) loan for $350,000. The small business failed but because of the personal guarantee liability, the client continued to pay the monthly principal & interest out-of-pocket draining his savings. The client hired a local attorney but quickly realized that he was not familiar with SBA-backed loans or their standard operating procedures. Our firm was subsequently hired after the client received the SBA's official 60-day notice. After back-and-forth negotiations, we were able to convince the SBA to reinstate the loan, retract the acceleration of the outstanding balance, modify the original terms, and approve a structured workout reducing the interest rate from 7.75% to 0% and extending the maturity date for a longer period to make the monthly payments affordable. In conclusion, not only we were able to help the client avoid litigation and bankruptcy, but our SBA lawyers also saved him approximately $227,945 over the term of the workout.
The clients are personally guaranteed an SBA 7(a) loan. The SBA referred the debt to the Department of Treasury, which was seeking payment of $487,981 from our clients. We initially filed a Cross-Servicing Dispute, which was denied. As a result, we filed an Appeals Petition with the SBA Office of Hearings and Appeals asserting legal defenses and supporting evidence uncovered during the discovery and investigation phase of our services. Ultimately, the SBA settled the debt for $25,000 - saving our clients approximately $462,981.
Our firm successfully resolved an SBA 7a loan in the original amount of $364,000 for a New Jersey-based borrower. The client filed Chapter 7 bankruptcy but the mortgage on his real estate securing the loan remained in place. The available equity amounted to $263,470 and the deficiency equaled $317,886.
We gathered the pertinent documentation and prepared a comprehensive collateral analysis. We negotiated directly with the SBA, obtaining a full release of the mortgage for $80,000.
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