In Person Training: Getting OCRM Ready

This 3 hour class is a deep dive into what a PARRiS review is, what a lender is responsible for when monitoring their 7(a) portfolio, and how to prepare for a lender’s next Office of Credit Risk Managements (OCRM) review. OCRM review types, frequency, and costs will also be part of the discussion as well as common issues, exceptions and findings using real-life examples. This class will define and discuss each PARRiS component, including measurement objectives, quantitative and qualitative factors, indicators and benchmarks. Understanding each section of its PARRiS rating allows a lender to evaluate their portfolio and proactively identify, mitigate, and manage high risk practices.

In Person Training: Underwriting When Using Projections

Projections based lending is often utilized when underwriting loans to start-ups, expansion, business acquisition purposes, and applicants with limited operating history or changes in product line or model. While lenders may be hesitant in how to proceed with projections and wary of relying on them when making a credit decision, the good news is that projections-based lending can be done successfully, even with increased SBA scrutiny for early defaults. This 3 hour in-person session discusses SBA requirements for projections, assumptions, working capital analysis and best practices to help lenders better underwrite these transactions.

In Person Training: Writing Credit Memos for 7(a) Small Loans

Now that SOP 50 10 8 is in effect, underwriting standards have changed substantially for 7(a) Small Loans, including the loan size being decreased to $350,000 or less and the elimination of “do what you do” for underwriting these smaller requests.  With the restored time-tested and prudent policies for more in-depth credit analysis on smaller loans, it may be hard to determine what is necessary for underwriting smaller loans.  This 3 hour in-person session will explore the guidance and best practices in underwriting 7(a) Small Loans that is efficient and meets SBA program requirements. 

 In Person Training: Writing Internal Policies and Procedures

While SOP requirements may be revised from time to time, what doesn’t change is that lenders must originate, close, service, liquidate, and litigate their loans in a prudent and commercially reasonable manner. This 3 hour class will explore the need for internal policies and procedures that link to SBA specific requirements. The primary focus of this class is an in-depth exploration of how to create internal policies and procedures that are prudent and commercially reasonable and adhere to 7(a) Program requirements. This class will also examine the standard components to include in any loan policy, common weaknesses and deficiencies and how to avoid them, as well as tips for effective writing and how to conduct periodic reviews to keep your policies current.