Liquidation & Post Debenture Workouts

Thursday, February 27 and 28, 2019

Discounted Rate
(By 12/3/2018)
Standard Rate
(After 12/3/2018)
NADCO Member $579 $629
Non-Member $879 $929
Government $529 $579

Instructor: Carmen Lauerman

Course Description

While it is an unfortunate reality of CDC business operations, Liquidation is arguably the most important and most stressful process for which a CDC needs to train and prepare. Between SBA expectations for various CDC structures, SOP requirements, and the potential for litigation, navigating this process can be especially involved in terms of both the technical requirements that need to be followed and the sometimes-difficult decisions that need to be made. In the future SBA regulations could change to require that all CDCs handle their defaulted loans through the liquidation process. Therefore, having a good foundation of background knowledge about liquidations could help you prepare for the future.

Get the tools you need to expertly approach potential liquidations and the resources that you can rely on throughout the liquidation process in this two-day course taught by liquidation expert, Carmen Lauerman.

In addition to the provided resources and information, CDC participants can pose various liquidation scenarios for discussion throughout the course for a hands-on experience that leaves students with a practical understanding of the tools and processes. The course will include in-depth discussions of SBA guidelines concerning the timing parameters of a liquidation and will follow a “cradle to grave” example to develop a both breadth and depth of understanding. OCRM audits will be discussed and CDC participants can exchange their OCRM audit experiences with other CDCs.

Class participants are encouraged to bring (or submit to NADCO beforehand) unusual or complicated liquidation cases for class discussion during this incredible practical course for CDC professionals.

Participants will receive a manual containing samples of SBA forms, checklists and templates for various liquidation functions which can be invaluable when handling that first loan into liquidation.

Topics include:
Preparing the Liquidation Plan and Protective Bid Analysis
Post-debenture workout/modifications and their accounting
The complexities of note, loan sales and short sales
SBA referral of borrowers to the Department of Treasury and Administrative Wage Garnishment as a collection tool
Charging off loans and what happens at and after charge off

PREREQUISITE: "Introduction to SBA 504" or six-months’ substantive experience with SBA 504 lending.

Other Recommended Courses for Participants

Basic Servicing

Advanced Servicing

Instructor Bio

Carmen Lauerman has worked as an independent liquidation consultant since retiring from the Federal Government (SBA) in November 2003 with 36 years of service. She has worked with NADCO and individual CDCs providing assistance on the servicing and liquidation of defaulted loans since 2005. She serves on NADCO’s servicing committee and liquidation subcommittees. She is one of the two instructors for NADCO’s "Liquidations and Post Debenture Purchase Workouts” 2-day training course. She has participated in NADCO’s liquidation webinars. She consulted with SBA and NADCO on liquidation SOPs including the new SOP 50 55. She has been approved by SBA as an independent liquidation consultant for 8 CDCs. She is available to assist all CDCs with liquidation questions and issues.