2007 News Flash Archive

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July 30 >
The first Q&A in this issue caused several alert readers to question the eligibility of the 7(a) loan. The response from SBA: The structure as described would meet the definition of "piggyback" for 7(a) purposes and would be ineligible. To fix: Either the 504 project financing is changed to include the real estate OR the 7(a) loan has a shared lien position with the conventional loan on the real estate. The August In Focus contains an article on the same subject.

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