What Exactly Is a Lender Service Provider?
A Lender Service Provider (LSP) refers to the role of helping a bank originate SBA 7(a) loans and get them approved for funding, properly serviced and liquidated as needed. This process involves several steps, including gathering information from the borrower, evaluating their creditworthiness, and assessing the risk associated with the loan, and most importantly in our case addressing SBA eligibility requirements.
A well-run LSP team can help a financial institution to grow its loan portfolio and increase its profitability while providing much-needed financial support to individuals and businesses in the community, that require an SBA enhancement to mitigate risk.
B:Side is a Lender Service Provider with over 40 clients and 14 years of experience. As an LSP we offer a variety of services which include:
Review and help structure lender credit memos
Analyze loan structure and complete all SBA eligibility analysis to supplement bank credit memo
Preparation of SBA required forms
Generate SBA Terms & Conditions
Submit 8821 form to IRS and reconciliation with tax returns & complete all SBA required searches
Submit loans to SBA for either non-delegated or delegated process
Handle screen-out correspondence
Closing support with customized SBA 7(a) toolkit and SBA closing documents
Post approval loan modifications and/or servicing & liquidation actions
Support with completion of the UPP tabs & guaranty purchase package to SBA in the event of loss
Ready to learn more?
Check out our webpage to learn more about the variety of SBA 7(a) loan options and the benefits of working with B:Side as your LSP
Dig deeper into the details by downloading our new SBA 7(a) Lender Desk Guide
Watch our in-depth B:Side University webinars on SBA 7(a) Eligibility, Structure, and Approval and SBA 7(a) Loan Closing, Servicing, and Liquidation