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Preparing a Liquidation Plan

Prior to initiating recovery procedures, Lenders are strongly encouraged to prepare a comprehensive liquidation plan based on the facts known and reasonable assumptions.  As a guide, you may refer to and use SBA form 1979 for assistance in preparing a plan.

Unless the loan was authorized under the Certified Lender Program, the Lender does not need to submit for prior approval any liquidation plan prior to implementation or loan purchase.

To submit a request for Liquidation plan approval, email as attachment a completed liquidation plan to loanresolution@sba.gov or fax to 202-481-4674 for assignment to a loan officer.

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