The SBA was able to resume the process of issuing 504 loan approvals starting Friday, October 1, 2021.
That’s after the SBA reached its lending cap for the first time ever, putting a pause on approvals in September. As of 10/1/2021, loans designated “Approved Pending Funding” are eligible to receive a loan number and authorization. This applies to all regular 504 loans, including 504 debt refinancing with expansion. The SBA is also processing the backlog of applications, and funds will not be prorated as initially expected.
Seedcopa was authorized to continue submitting loan packages with no interruption throughout September and that continues to be the case. This is all made possible by a Continuing Resolution (CR) passed late last week that also averted a federal government shutdown. The CR is currently in effect until December 3, 2021, and Certified Development Companies like Seedcopa can continue to lend normally while operating under the CR.
