This form is an assumption agreement for a Small Business Administration (SBA) loan. Party assuming the loan agrees to continue payments thereon. SBA agrees to the assumption of the loan and release of original debtor. Adapt to fit your circumstances.
The Oregon Assumption Agreement of SBA Loan is a legally binding contract that allows a borrower to transfer their Small Business Administration (SBA) loan to another party, typically when they sell their business or transfer ownership. This agreement outlines the terms and conditions of the loan assumption, including the responsibilities of the new borrower and the approval process required by the SBA. The assumption agreement is necessary because SBA loans are guaranteed by the government and have specific requirements and conditions. By transferring the loan, the borrower is essentially transferring all loan obligations and liabilities to the new borrower. The SBA must approve this assumption to ensure the new borrower meets their eligibility criteria and has the financial capacity to repay the loan. There are several types of Oregon Assumption Agreements of SBA Loan that may vary based on the type of SBA loan being assumed. Some common types include: 1. 7(a) Loan Assumption Agreement: This type of assumption agreement is for the SBA's flagship loan program, the 7(a) loan. It covers general business purposes like working capital, equipment purchases, and debt consolidation. 2. CDC/504 Loan Assumption Agreement: CDC/504 loans are long-term, fixed-rate loans used for the purchase of fixed assets such as real estate, land, and buildings. The assumption agreement for this type of loan outlines the terms and conditions specific to CDC/504 loans. 3. Microloan Assumption Agreement: Microloans are small loans provided by non-profit intermediaries to help small businesses with financing needs. This type of assumption agreement pertains to the transfer of microloans and their associated terms. The Oregon Assumption Agreement of SBA Loan typically includes key elements such as the loan amount, interest rate, repayment terms, any collateral involved, and the obligations of the borrower and the new borrower. It may also include provisions related to loan default, prepayment, and any necessary guarantee agreements. In conclusion, the Oregon Assumption Agreement of SBA Loan is a critical document that facilitates the transfer of SBA loans to new borrowers. With different types of assumption agreements available based on the specific SBA loan program, this agreement ensures compliance with the SBA's requirements and safeguards the interests of both the borrower and the new borrower.The Oregon Assumption Agreement of SBA Loan is a legally binding contract that allows a borrower to transfer their Small Business Administration (SBA) loan to another party, typically when they sell their business or transfer ownership. This agreement outlines the terms and conditions of the loan assumption, including the responsibilities of the new borrower and the approval process required by the SBA. The assumption agreement is necessary because SBA loans are guaranteed by the government and have specific requirements and conditions. By transferring the loan, the borrower is essentially transferring all loan obligations and liabilities to the new borrower. The SBA must approve this assumption to ensure the new borrower meets their eligibility criteria and has the financial capacity to repay the loan. There are several types of Oregon Assumption Agreements of SBA Loan that may vary based on the type of SBA loan being assumed. Some common types include: 1. 7(a) Loan Assumption Agreement: This type of assumption agreement is for the SBA's flagship loan program, the 7(a) loan. It covers general business purposes like working capital, equipment purchases, and debt consolidation. 2. CDC/504 Loan Assumption Agreement: CDC/504 loans are long-term, fixed-rate loans used for the purchase of fixed assets such as real estate, land, and buildings. The assumption agreement for this type of loan outlines the terms and conditions specific to CDC/504 loans. 3. Microloan Assumption Agreement: Microloans are small loans provided by non-profit intermediaries to help small businesses with financing needs. This type of assumption agreement pertains to the transfer of microloans and their associated terms. The Oregon Assumption Agreement of SBA Loan typically includes key elements such as the loan amount, interest rate, repayment terms, any collateral involved, and the obligations of the borrower and the new borrower. It may also include provisions related to loan default, prepayment, and any necessary guarantee agreements. In conclusion, the Oregon Assumption Agreement of SBA Loan is a critical document that facilitates the transfer of SBA loans to new borrowers. With different types of assumption agreements available based on the specific SBA loan program, this agreement ensures compliance with the SBA's requirements and safeguards the interests of both the borrower and the new borrower.
