January Bond Sale Rate:
6.28%
(20 year fixed rate)
Are your customers benefiting from 504's low, twenty year fixed rates? By "blending" the bank rate with the 504 rate, could your bank win new business?
2005 Annual Meeting
SBA's Joe Loddo and BFG's Chairman, Jim Scanlon, present John Golsen of GE Capital with the Top First Trust Lending Officer Award for 2005.
SBA requires that environmental concerns be fully addressed or re-mediated. How do you start the investigation process? For condos and vacant land, an environmental questionnaire suffices. It must be signed by the seller or the current occupant of the property. Can you use a database search? The answer is "maybe". A database search does not include a site visit; therefore, an environmental questionnaire (signed by the seller or the current occupant) must accompany the database search. Sellers are often reluctant to sign the questionnaire, and unless the borrower is purchasing their current location, the occupant is also unlikely to sign. If the database search notes risks, those will have to be addressed. We have found that a Transaction Screen Analysis is one of the best ways to handle the environmental requirements because a professional makes the site visit, notes "no further action required" (SBA buzzwords), sellers are not required to sign, and our consultant is very reasonably priced. Call us at 800-305-0504 for information on more complex transactions.
The RMA Journal Publishes an Article on 504
The October, 2005 issue of The RMA Journal included an article entitled "A lender's Guide to Successfully Marketing SBA 504 Loans." The article suggests that the 504's low down payment is ideal for aggressively growing companies, medical or dental practices with significant build-out requirements, capital-intensive companies, or professional companies with several partners of varying financial strength. Using the 504 program can increase lending opportunities for the bank and increase fee income through secondary market sales. If you would like a copy of the article, please contact us at info@businessfinancgroup.org.
Record Growth For 1st Quarter of FY '06
Business Finance Group is pleased to announce record growth in both loan approvals and fundings for the first quarter of FY 06. Approvals increased by 76% over the same quarter last year while fundings for the quarter were up 59%.
Introductory and Advanced 504 Training Available
Business Finance Group is pleased to come to your offices to provide the latest information on the 504 program. We can customize the program to help new staff, support staff, or update your experienced staff. Please contact Sally or Wayne at 703-352-0504 to schedule a time.
