Restructuring an SBA Loan post-close?

January 18, 2022
by a searcher in Boulder, CO, USA
Hi all,
I bought a company on my own over the summer with SBA financing that is secured by both the business assets and my personal home. The good news is that the business is profitable, but long-story-short I'm running into constant cash flow problems and I'm only generating enough operating cash flow to pay myself a basic salary and fund the debt -- with little to zero buffer. Based off what I've learned the first six months, I've rebuilt my financial models out for the next 36 months and I see no improvement in my situation. There were some definite red flags I clearly missed during due diligence and hindsight is 2020, but I'm now left with the struggle of figuring a way out. The quickest and most impactful opportunity that I see in the short-term would be to restructure my monthly debt service. Before I approach this topic with the bank, has anyone gone through this process before on an SBA loan? Any tips or advice you would give? Is there a 3rd party I should be working with to help me navigate that discussion?
from Temple University
from University of Notre Dame in Cambridge, MA, USA