If you Owe more than $30,000 contact us for a case evaluation at (833) 428-0937
contact us for a free case evaluation at (833) 428-0937
Call us (833) 428-0937

Who can Help with a SBA Offer in Compromise

Book a Consultation Call

Who can Help with a SBA Offer in Compromise

Most people start their own business with the highest of hopes. Many times, to fund a new business, a person will receive a loan through the SBA (Small Business Administration). While these loans are administered through the SBA, they are often facilitated by individual lenders. However, if a small business taking out one of these loans was to encounter financial disaster, which causes the business close, there would likely be an issue with SBA loan default

In many of these instances, lenders will try to close the books on a particular loan by something known as an SBA Offer in Compromise. This is an agreement between the lender and the borrower to repay a portion of the loan when full repayment isn't possible. The problem that many small businesses face is dealing with the SBA OIC claim form, as well as dealing with a less than a reputable lender. This is where attorneys may be helpful to the individual or business that initially took out the SBA loan.

Often, when the loan is in default, the business or the business owner will receive an SBA demand letter. This is where the offer in compromise process should begin. An attorney can help negotiate with the lender to achieve the best terms for the offer in compromise. What this does is cleans the slate and allows the owner to walk away from the loan having it settled and not having it existing on the owner's credit report.

However, SBA loan foreclosure can also provide an opportunity for an attorney to mitigate the default in a different manner. The fact is that there has been significant issues with predatory lending in the small business administration loan process. There are many lenders that have used improper tactics and submitted loans with less than equitable fees and interest rates. If a small business feels as if this is the case with their lender, an attorney can investigate this issue and can bring these issues before the Small Business Administration.

Whether it's a Tax Offset Program, a delicate negotiation for an offer in compromise or if it's uncovering predatory lending practices, having an SBA loan attorney is essential. While it's never fun to attend to things after a business idea has failed, this is one way to ensure that there are less financial repercussions after everything is said and done.

Why Hire Us to Help You with Your Treasury or SBA Debt Problems?

construction accident injury lawyer

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

slip and fall attorney

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

truck accident injury attorney

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.

$350,000 SBA 7A LOAN - NEGOTIATED STRUCTURED WORKOUT AGREEMENT

$350,000 SBA 7A LOAN - NEGOTIATED STRUCTURED WORKOUT AGREEMENT

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. 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 we also save him approximately $227,945 over the term of the workout.

$375,000 SBA 504 LOAN - SBA OIC CASH SETTLEMENT

$375,000 SBA 504 LOAN - SBA OIC CASH SETTLEMENT

Client personally guaranteed SBA 504 loan balance of $375,000.  Debt had been cross-referred to Treasury at the time we got involved with the case.  We successfully had debt recalled to the SBA where we then presented an SBA OIC that was accepted for $58,000.

$505,000 SBA 7A LOAN - FEDERAL DISTRICT COURT LITIGATION (CALIFORNIA)

$505,000 SBA 7A LOAN - FEDERAL DISTRICT COURT LITIGATION (CALIFORNIA)

Clients borrowed and personally guaranteed an SBA 7(a) loan.  Clients defaulted on the SBA loan and were sued in federal district court for breach of contract.  The SBA lender demanded the Client pledge several personal real estate properties as collateral to reinstate and secure the defaulted SBA loan.  We were subsequently hired to intervene and aggressively defend the lawsuit.  After several months of litigation, our attorneys negotiated a reinstatement of the SBA loan and a structured workout that did not involve any liens against the Client's personal real estate holdings.

Read more Case Results

Related Content

Read more sba debt articles