• Preferred lenders have been given the authority by the SBA to underwrite their own SBA loans internally and make the final credit decision, saving multiple weeks in the process.
• Preferred lenders have a proven track record of successfully processing and servicing SBA guaranteed loans. Other factors determining their PLP (Preferred Lender Provider) designation include performance, loan volume, and a clear knowledge of SBA policies and procedures.
• Once a lender does receive a PLP designation, the term lasts for a maximum of two years. Prior to re-certification the SBA will audit a PLP lenders loans, policies, and procedures.
• PLP borrowers are working with a bank that has a proven track record who possess a direct relationship with the Small Business Administration.
• Time is money. PLP lenders have SBA lending tools that non-PLP lenders do not have, allowing them to act quickly and efficiently in their interactions with borrowing customers.
• Non-preferred lenders must send loans into the SBA for approval, which can take up to 4 weeks. They have less control over the loan and the approval results.
If you have questions about SBA financing options, please contact me.
Tom Stadler-Sunbelt Business Advisors
SBA Loan Specialist, Finance Director, Licensed Business Broker
Phone: 952-300-5705
tstadler@sunbeltmmidwest.com
