My SBA Loan Pro Podcast Ryan Smith

Bruce Marks has made a career out of mastering lower middle market business acquisition financing by leveraging the SBA 7(a) loan program coupled with a Pari Passu conventional loan for loan requests that exceed the SBA's $5 Million borrowing limit.

In this Episode Bruce pulls back the curtain revealing how to structure a Pari Passu loan for success by diving deep into risk assessment, the searcher, the target business along with working capital, quality of earnings report, debt service coverage ratio and a whole lot more.

If you liked this content, let's connect on social media:

Instagram: https://instagram.com/mysbapro
Twitter: https://twitter.com/mysbapro
LinkedIn: https://linkedin.com/in/ryanpatryck
Link to full episode: https://youtu.be/Q_7uIW6auD4

⁠More ThinkSBA Resources

⁠⁠⁠⁠https://calendly.com/thinksba⁠⁠⁠⁠ - Schedule Call
⁠⁠⁠⁠https://g.page/thinksba⁠⁠⁠⁠ - Google Business Page & Reviews
⁠⁠⁠⁠https://thinksba.com/faq⁠⁠⁠⁠ - Frequently Asked Questions
⁠⁠⁠⁠https://mysbaloanpro.com⁠⁠⁠⁠⁠ - My SBA Loan Pro Podcast
⁠⁠⁠⁠https://youtube.com/@thinksba⁠⁠⁠⁠ - YouTube Channel

Working capital has many meanings and definitions depending on the application of funds. For the purpose of this podcast, I will define working capital as capital provided to a business to fund tangible recurring business expenses or capital expenditures.



Working Capital For Growth



As an SBA Loan Broker, I often receive inquiries from SMB owners for working capital to fund the growth of their business. Their definition of working capital is the transfer of funds from the lender's bank account to their bank account without any strings attached. This is not the definition of working capital.



Let's set the record straight.



Banks provide working capital to fund specific uses such as the purchase of equipment, furniture, fixtures, tenant improvements and fixed expenses such as rent, utilities, maintenance, and employee wages.



Therefore, it is important to understand that in preparing your application to submit to SBA lenders, you will need an itemized list of what we call "Use of Proceeds." Just as it implies, the phrase "use of proceeds" simply means identifying the tangible items the funds will be used for by the borrower.



To be crystal clear. When a borrower is requesting working capital for growth, they should not expect the funds to be sent to them without providing a detailed use of proceeds.



Working Capital To Acquire a Business



When applying for an SBA loan to acquire a business, lenders will nearly always provide working capital to sustain the borrower through the transition of the business. This typically includes working capital to pay up to 90 days of fixed expenses and what I refer to as "free working capital," which means the ability to spend the capital without strings attached. This amount of free working capital is normally small compared to the larger amount used for tangible capital expenditures or recurring fixed expenses.



You Are Ready To Apply



Now that you know how to properly prepare your application, you can successfully apply for working capital to grow your existing business or successfully transition a newly acquired business.



If you liked this content, let's connect on social media:


Instagram: ⁠⁠⁠https://instagram.com/mysbapro⁠⁠⁠
Twitter: ⁠⁠⁠https://x.com/mysbapro⁠⁠⁠
LinkedIn ⁠⁠⁠https://linkedin.com/in/ryanpatryck



More ThinkSBA Resources

⁠⁠⁠⁠https://calendly.com/thinksba⁠⁠⁠⁠ - Schedule Call
⁠⁠⁠⁠https://g.page/thinksba⁠⁠⁠⁠ - Google Business Page & Reviews
⁠⁠⁠⁠https://thinksba.com/faq⁠⁠⁠⁠ - Frequently Asked Questions
⁠⁠⁠⁠https://mysbaloanpro.com⁠⁠⁠⁠⁠ - My SBA Loan Pro Podcast
⁠⁠⁠⁠https://youtube.com/@thinksba⁠⁠⁠⁠ - YouTube Channel

Join Ryan Smith, Principal and Founder of ThinkSBA, as he sits down with John Homan, esteemed SBA Loan Workout Specialist.

John shares valuable insights into the intricacies of SBA loan defaults, including how to avoid defaulting, how lenders respond to non-payment to mitigation strategies.

Discover how to safeguard your assets, negotiate settlements, and overcome challenges, all while maintaining a positive outlook.

Don't miss this empowering discussion tailored for SBA loan guarantors facing defaulting on their loan payments.



If you liked this content, let's connect on social media:


Instagram: ⁠⁠https://instagram.com/mysbapro⁠⁠
Twitter: ⁠⁠https://x.com/mysbapro⁠⁠
LinkedIn ⁠⁠https://linkedin.com/in/ryanpatryck



Chapters:

00:00 Introduction
00:29 - John's Bio
2:25 - Types of Loans
5:06 - Common Issues with SBA Loans
8:54 - Personal Guarantees and Collateral
10:53 - Asset Protection Strategies
12:29 - Handling Default and Settlements
16:22 - Repossession and Foreclosure
24:33 - Finding Help for SBA Loan Default
27:00 - Lender Aggressiveness
28:02 - Success Stories
31:21 - Due Diligence for SBA Loans
34:07 - Assessing Business Opportunities
37:02 - Contact John



Link to full episode: https://youtu.be/w0S0tgSccTQ?si=BiYYCUf-5GwnUPEw

⁠More ThinkSBA Resources

⁠⁠⁠https://calendly.com/thinksba⁠⁠⁠ - Schedule Call
⁠⁠⁠https://g.page/thinksba⁠⁠⁠ - Google Business Page & Reviews
⁠⁠⁠https://thinksba.com/faq⁠⁠⁠ - Frequently Asked Questions
⁠⁠⁠https://mysbaloanpro.com⁠⁠⁠⁠ - My SBA Loan Pro Podcast
⁠⁠⁠https://youtube.com/@thinksba⁠⁠⁠ - YouTube Channel

Ryan Smith, Principal and Founder of ThinkSBA, sits down with Sol Rosenbaum of SR Engineering and Consulting, a seasoned mechanical engineer with over two decades of experience in energy engineering.

Discover how Sol's firm assists business owners in navigating the complexities of the SBA 504 Green program through meticulous assessments and engineering support.

Learn about the two primary pathways—energy efficiency and renewable energy—and explore real-world case studies showcasing the tangible benefits for business owners.

If you liked this content, let's connect on social media:

If you liked this content, let's connect on social media:


Instagram: ⁠https://instagram.com/mysbapro⁠
Twitter: ⁠https://x.com/mysbapro⁠
LinkedIn ⁠https://linkedin.com/in/ryanpatryck

Chapters

0:00 - Introduction
01:14 - Sol's bio
02:41 - Qualifications & Program Requirements
03:43 - SBA Expectations
06:08 - Explaining SBA's 504 Guarantee Program
08:43 . Engagement Process & Data Collection
14:02 - Energy Efficiency vs. Renewable
15:53 - Geographic Considerations
18:26 - Structural and Municipality Concerns
19:30 - Timelines and Process for Report Preparation
24:37 - Case Studies
30:46 - Connect with Sol



Link to full episode: https://youtu.be/c8RpLw9Vo2M?si=dd5TOeUZx2VnxsTl

⁠More ThinkSBA Resources

⁠⁠https://calendly.com/thinksba⁠⁠ - Schedule Call
⁠⁠https://g.page/thinksba⁠⁠ - Google Business Page & Reviews
⁠⁠https://thinksba.com/faq⁠⁠ - Frequently Asked Questions
⁠⁠https://mysbaloanpro.com⁠⁠⁠ - My SBA Loan Pro Podcast
⁠⁠https://youtube.com/@thinksba⁠⁠ - YouTube Channel

Join our Host Ryan Smith, Principal and Founder of ThinkSBA, as he interviews Bethany McClellan, President of Rapid Business Plans.

Bethany dives into the world of crafting SBA ready Business Plans and Feasibility Studies removing anxiety from SBA loan applicants.

Discover how Bethany's journey from corporate sales to entrepreneurship led to a thriving agency, assisting clients in various industries from gas stations to professional services.

If you liked this content, let's connect on social media:
Instagram: https://instagram.com/mysbapro
Twitter: https://x.com/mysbapro
LinkedIn https://linkedin.com/in/ryanpatryck

Chapters0:00 - Introduction
1:15 - Bethany's Bio
5:45 - Business Plan Process
7:52 - Information Needed
8:45 - Uncovering Valuable Insights
13:18 - Feasibility Study Breakdown
17:20 - Industries Served
18:23 - Being the Boss
20:45 - Future Growth Plans
22:04 - Bank & Underwriter Interactions
24:08 - What Makes a Good Client?
25:20 - Clients served
26:39 - Contact Bethany


Link to full episode: https://youtu.be/k8szIEHUAgs?si=Y0I-jXWeqftWQb8P
More ThinkSBA Resources

⁠https://calendly.com/thinksba⁠ - Schedule Call
⁠https://g.page/thinksba⁠ - Google Business Page & Reviews
⁠https://thinksba.com/faq⁠ - Frequently Asked Questions
⁠https://mysbaloanpro.com⁠⁠ - My SBA Loan Pro Podcast
⁠https://youtube.com/@thinksba⁠ - YouTube Channel

In this episode of the My SBA Loan Pro Podcast Face to Face, Ryan Smith, Principal & founder of ThinkSBA sits down with Fernando Ponce, Business Development Officer at Primary Funding, a non-traditional lending source based in San Diego, California specializing in Purchase Order Financing, Factoring and Asset-Based Lines of Credit.



Learn how non-traditional lending can bridge the gap for B2B businesses who are unable to secure traditional financing due to negative historical cash flow, tightening of debt markets or spontaneous rapid growth.



If you liked this content, let's connect on social media:

Instagram: https://instagram.com/mysbapro
Twitter: https://twitter.com/mysbapro
LinkedIn: https://linkedin.com/in/ryanpatryck



00:00 - Introduction
01:11 - Fernando Ponce's Bio
04:20 - Primary Funding's Role
06:57 - Types of Financing Offered
11:36 - Factoring as a Financing Solution
12:15 - Transparency and Flexibility in Financing
15:47 - Industry Challenges and Red Flags
23:42 - Business Funding Process
26:22 - Industries Eligible for Funding
29:51 - Challenges in Closing Credit Facilities
31:13 - Importance of Transparency
37:30 - When and How To Contact Fernando



Link to full episode: https://youtu.be/0Y8x32Y6xsM?si=Uj9vSNG1WMkPb20-



More ThinkSBA Resources

⁠https://calendly.com/thinksba - Schedule Call
https://g.page/thinksba - Google Business Page & Reviews
https://thinksba.com/faq - Frequently Asked Questions
https://mysbaloanpro.com⁠ - My SBA Loan Pro Podcast
https://youtube.com/@thinksba - YouTube Channel