SBA Lifetime Limit?

searcher profile

January 13, 2022

by a searcher from University of Southern California in Los Angeles, CA, USA

Hi all! Hoping the SBA lenders in the crowd have some insight on an SBA term I'm trying to understand -

I'm a self storage operator using SBA 7a loans - do I personally (or my business) have a lifetime cap on the amount of SBA debt we can have?

For example I might:

1. Buy a facility for $1 of SBA debt

2. Sell the facility for $1.5 and pay off my debt (and hefty prepayment penalties of course)

Is my total borrowable amount now equal to total limit-$1 or is my total limit reset to 5m and 12.5m each for SBA 7a/504 products respectively?

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commentor profile
Reply by a lender
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA
Happy to jump on a call to discuss at any time. However, you can have $5 million in total SBA loan exposure at any given time. On the SBA 7A loan program, the exposure is based off of the gross loan amount, not the guaranteed portion of the loan. You can reach me at redacted
commentor profile
Reply by a lender
from University of Utah in Sandy, UT, USA
It easier to discuss on the phone. Please let me know if you have time to discuss.
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