Does anyone have clarity on Cares Act changes to SBA 7A acquisition loans?

searcher profile

April 04, 2020

by a searcher from The University of Auckland - The University of Auckland Business School in Los Angeles, CA, USA

I understand no repayments or interest for 6 months but any changes to SBA guarantee amount (90%?), removal of personal guarantee requirement or other changes? I understand 6% is now maximum allowable interest on loans? Thanks.

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commentor profile
Reply by an investor
from Thomas A. Edison State College in Naples, FL, USA
Only PPP loans are getting the bump to 10M. The 10M and 90% guaranty number (edit, for regular 7a) was a separate proposal that still hasn't moved yet. Any acquisition under regular 7(a) terms will follow all the regular terms except you'll have 6 months of payments covered by the Government, plus an option for a 3 month deferment at the discretion of the lender. If you don't deals done now and build a 9-10 figure net worth, you'll never have a better time EVER to do so...
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Reply by a searcher
from Boston University in Boston, MA, USA
Here' a link to the PPP program on the SBA website.

https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program-ppp
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