Where the Applicant or an owner is a 401(k) plan, including a Rollovers as Business Start-ups plan, the SBA Lender confirms the plan meets IRS, Treasury and DOL requirements (SBA does not), considers the repayment risk of plan disqualification, records the plan type and any ROBS use in the SBA Loan System and credit memorandum, obtains the full unconditional (and, where collateral policy requires, secured) guaranty of each plan sponsor, obtains with the application the IRS favourable determination letter, the latest Form 5500 for an existing plan and, for ROBS, the C corporation formation, plan adoption, stock purchase and resolution documents, excludes plan formation costs from proceeds, avoids an EPC/OC structure, and before any disbursement obtains the Borrower's certification of plan compliance and ongoing reporting.
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.