Did you know that the Aurora BDC offers support for loan package development? Our Small Business Specialists meet one-on-one by appointment with clients to assist them in their applications for financing. The Aurora BDC serves as a Technical Assistance (TA) location for the SBA Community Express and SBA Express Loan Programs. The Community Express Pilot Program has recently been restructured and will include the following key features:

• The maximum size of a loan remains at $250,000.

• Eligibility for Community Express will be limited to:

o Small businesses whose principal office (as defined in 13 CFR 126.103) is located in a HUBZone or Community Reinvestment Act (CRA) designated area;

o Loans made under a Headquarters-approved district office initiative to support a local community/economic development market.

o Loans of $25,000 or less that do not need to be located in a CRA, HUBZone, or HQ-approved district office market.

• SBA's guaranty of 85 percent for loans up to $150,000 and 75 percent for loans over $150,000 will continue to apply.

• Technical Assistance (T/A) remains a program requirement, but lenders may use SBA's online facilities ( www.sba.gov ), including the Small Business Training Network (SBTN) and other SBA resources to meet the program's T/A requirements. Lenders must continue to document in each loan file that the required T/A was provided to the borrower.

• SBA's required pre-loan SBTN T/A or other comparable T/A must be completed prior to the loan being disbursed. (If unusual circumstances exist, as discussed below, lenders may disburse a loan prior to all of the introductory T/A being completed.)

• For loans greater than $25,000, SBA's required pre-loan SBTN T/A or other comparable T/A may be used, but lenders must also refer borrowers for additional T/A and document in the loan file the provision of the additional required T/A.

• With SBA's 75/85 percent guaranty and the availability of SBA's SBTN and SBA's other T/A resources, the maximum interest rate lenders may charge will be limited to the standard 7(a) rates (which contrast with the higher rates previously allowed).

• Additional Requirements:

o Borrows will need to Include a Business Plan
    with the loan package.

o Borrowers will have to take an on-line SBA course
    upon approval of loan, and before funding.

This sounds a little technical, so for more information and one-on-one assistance, please make an appointment with one of our Small Business Specialists at the Aurora BDC, (303) 326-8690.