SBA backed business loan
I can can come up with 30-50 % down to qualify for an SBA backed loan. I am working with a loan packager that charges $2500 to "package" the loan and find a lender for me. Is it possible to get the SBA loan without the packager? or with tight money now, should I just pay the $2500 to get the remainder of finacing?
I think you're getting swindled.
It's not hard to find out which banks make SBA loans. Then you can come up with your own BS numbers rather than have a consultant make them up for you. Remember, YOU are the one who will be signing for the loan, NOT the 'packager'. When you sign your name to an app based on the 'Packager's' numbers, you make them your own. The packager isn't going to make your payments when you fail to make the projections the packager made for you.
The SBA's loan programs offer
The SBA's loan programs offer banks insurance on a percentage of qualifying small business loans: If the borrower defaults, the SBA pays the bank back for the portion of the loan it has guaranteed. This approach makes small business loans more enticing to risk-averse lenders. But the number of loans the SBA backed plunged in 2008, thanks to stricter bank lending standards and a frozen secondary market for the loans.
nope - BentSword
And here I thought BentSword's tireless crusades against the mean old SBA who made a loan to him even thought he falsifiable his application was the reason for the decline. He was involved in secret squirrel meetings etc. My guess is they looked at the fraud he perpetuated and threw him in jail where he belongs then looked at how could the SBA be duped by this dullard and increased their standards.
Next time you guess I suggest
Next time you guess I suggest you swap hands.
Did you just land
Did you just land CashAdvacnces? The relationship between banks and SBA loans has definatley come under serious scrutiny and failed badly. Franchisors had a bad habit of proffering fiddeled figures and the banks looked sideways with a wink and a nudge leaving taxpayers and franchisees out of pocket while the banks gleefully increased profits while franchisors played churn with franchises.
Those over at the SBA should have realized that you cannot trust banks to determine who gets taxpayer money when there is such a huge incentive to rort SBA loans.
pigs get slaughtered
Franchisors had a bad habit of proffering fiddeled figures and the banks looked sideways with a wink and a nudge leaving taxpayers and franchisees out of pocket while the banks gleefully increased profits while franchisors played churn with franchises.<br />
The zee fills out the paperwork, the zee is the one who substantiates the fraud, the zee is the enabler. Take your hero BentSword, he DELIBERATELY falsified his loan application knowing full well he was falsifying it!!!!</p>
The Banks, the SBA, and the zees all conspire to defraud the tax paying public. Stop letting the zee off the hook.</p>
The truth is the zee is a greedy, fat little piggy who does not want to pay the fair going market rate of a interest for such a risky loan. And greed is what makes franchising work. All franchising comes down two is somebody known as a zor gets tired of working and concocts a scheme to get greedy imbeciles know as zees to take on all the risk of business and assure the zee profit from the get go. The scheme works because the zor uses the zees greed and laziness against them. They know would be con men such as zees are easily conned because they always think they are smarter than the next guy and think they are entitled to rip off the other guy. Then after the zor and the banks get done f wording them they come out of their daze and scram bloody murder because they ended up the f-ee verses the f-er. Simple as that.</p>
Ever read this Webster guy's stuff He explains it well. People like BentSword knew the deal was not right but they went ahead with it because they thought they were the smartest guy in the room. In BentSword's case he thought he was educated, had worked on Wallstreet and thought he was going to pull a fast one over on those simpleton franchisers, the banks, the SBA and make a larger profit on the backs of the taxpayer. He sees vast conspiracies because his giant ego cannot handle the fact he got played and played by his own greed. He was going to be the smart guy who owned a business where some poor schlepps worked for him for a pittance so he could lay on the beach and he was willing to falsify loan papers in order to get a cheapie tax payer loan to boot.</p>
As for churning, those franchises would not get churned is it wasn't for the fact hat the greedy little pigee zees thought that they are always smarter than the previous guy. See the pattern here, the zee is always smarter and entitled to collect a profit off someone else back but never is it permissible efr i to be the other way around - their egos cannot handle it when they realize they are the mark - cause they are so smart.</p>
There is more, the banks found they could borrow money form the Fed at a ridiculously low interest rate and buy T-bills for more than they had to pay in interest on the loans, and due to the way assets are counted every dollar they had in t-bills is calculated as a multiple for an asset. So they were able to earn free interest on T-bills and improve their balance sheet. No need to keep loan officers or servicing agents on the payroll with this model. So once again the big mouths who are always asking for more Government regulation got it, and the banks simply moved to an area where they could get a superior risk adjusted return due to compliance costs.