SBA now requires all Certified Development Companies to include some documentation in the file when they submit non-PCLP loans for authorization. These documents are not new additions, just items that need to be firmed up a little earlier:
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Project cost documents, including purchase agreements for project assets, Notes for any financing of the project expenses paid before the application has been submitted to SBA and construction cost bids.
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A letter from the participating Third Party Lender indicating the reason why it will not finance the entire project, their willingness to finance a portion of the project and its terms and conditions. We have an example for those that want one. In the past SBA has accepted a term sheet and then we followed up on the official lender letter - going forward this will not be permissible.
Changes to projects cost and lender terms can be entertained prior to funding. Please let us know if you have any questions.