SBA Loan Closings (Session 13): Putting It All Together 504 Loan Case Studies

This program can be taken individually, or as Session 13 of the 504 Loan Closing Course. This course is designed for attorneys and paralegals, CDC managers and staff, and bankers and bank counsel engaged in closing SBA 504 Loans or interested in learning more about integrating the closing process with loan eligibility and packaging and loan servicing. 

This Case Study session focuses on a loan for a mixed-use Project (real estate and personal property) involving ground-up construction, an Eligible Passive Company/Operating Company structure that is changing, and other challenges when closing 504 Loans.  

Learning Objectives:

1. Teach students how to translate the Terms and Conditions/Authorization into closing requirements and using a Closing Checklist
2. Identify amendments needed to the Terms and Conditions/Authorization
3. Provide further instruction on completing closing forms: Note, Servicing Agent Agreement, Debenture, Guarantees, 504 Debenture Closing Checklist, CDC Certification, Borrower and Operating Company Certification, Interim Lender Certification, Third Party Lender Agreement, Guarantees, Standby Creditor's Agreement, Opinion of CDC Counsel 
4. Challenge students with problems frequently encountered in closing and discussing solutions with:

• Borrower and Guarantor Organizational Documents

• Interim and Third-Party Loan Documents

• Title Work (Title Insurance Commitment and Exceptions) and Survey

• Insurance Coverages

• UCC Lien Searches

• Eligible Passive Company/Operating Company Lease

• Standby Creditors

• Project Costs and Use of Proceeds