SBA Loan Fees Reduced!!!!!

Small business owners will find it a great time to borrow. This information came from one of my commercial lenders and summarizes the changes very well. If anyone is interested I can help in this process!

1. SBA 504 program fee waiver. Example of money that can be saved for a customer buying commercial real estate at the 10% down payment and long term fixed (presently 5.60%) program is 1.5% of the SBA's second mortgage loan amount. For example, a $500,000 SBA second mortgage loan would save the customer about $7,500 in closing costs. Further reducing the amount of cash needed to make the purchase.
2. SBA 7A program guaranty increase and guaranty fee waiver. Business acquisitions, startups, working capital loans or commercial real estate loans less than $1,666,666 can be eligible for a 90% SBA guaranty, increasing the attractiveness of the deal to the bank. The sliding scale fees for the guaranty fee are also waived. In a $500,000 loan amount example the normal $11,250 fee would be waived further saving the customer money in closing costs.

- Gust Sarris, Partner
Affinity Law Firm, P.L.


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