SBA Offer In Compromise (“OIC”) Settlements
The SBA Offer in Compromise is the term assigned to a program developed by the Small Business Administration to help business owners who have defaulted on their business loans and whose personal guarantees are called on to satisfy the remaining debt.
When appropriate, the SBA will release loan guarantors of their liability for a payment of less than what was owed if presented with a compelling reason why it is unlikely the SBA will ever forcefully collect more than what was offered. To be successful, you need to know the written as well as the unwritten SBA guidelines. We have represented hundreds of borrowers in settling their personal guaranties with the SBA, so we are experienced, and experts with the process and can settle your liability affordably and without bankruptcy.
When an SBA loan is written, it is given to the underlying business. When your business fails or closes down, you as the guarantor of the loan will be held liable for any remaining balance after your business closes. The bank and SBA can begin to pursue your personal assets unless you take immediate action.
The lender can foreclose on your home or other property, garnish wages, levy bank accounts or other assets. To prevent such paralyzing effects, you need someone to help you navigate these tricky waters. But because there is no memo, book or website to turn to for help, you’ll need a professional who can ensure your package will be reviewed, accepted and that the lender doesn’t take aggressive actions.
Second Wind Consultants has worked out hundreds of successful SBA Offer in Compromises and frequently arranges for settlements with a no interest payment plan. With a successful negotiation of your guaranty, any liens against the real estate will be removed, judgments are marked satisfied or withdrawn, and the guarantors will forever be released from their liability. In short, we can help you move on with your life.
To learn more about what Second Wind Consultants can do for you regarding your guaranteed debt to the SBA, please request a free, no-obligation consultation with us.