SBA Lending Update
Many green industry merger & acquisition transactions involving smaller companies have traditionally been financed through loans guaranteed by the U.S. Small Business Administration, primarily its 7(a) program. These loans are made by participating financial institutions and guaranteed in whole or in part by the SBA. As has been widely reported, there has been a steep decline in SBA lending over the past year. This has been due to a variety of factors, all of which in one way or another emanate from the credit crisis. First and perhaps most importantly, banks’ primary source of liquidity to make these loans has … Read more