september 2012 sba distribution model 1. organizational structure head of sba region 1 sales mgr...
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SEPTEMBER 2012
SBA Distribution Model
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Organizational Structure
Head of SBA
Region 1 Sales Mgr
Region 2 Sales Mgr
Region 3 Sales Mgr
Sales Operation
s
SBA Loan Productio
n Mgr
SBA Express
Mgr
Region 1 BDOs
Region 2 BDOs
Region 3 BDOs
Sales Operations Analyst
Closing & Packaging Managers
Underwriting
Managers
SBA Express Analysts
Underwriters & Credit
Analysts
Closers & Packagers
SBA Senior Credit Officer
SBA Senior
Workout Mgr 2
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Centralization is Key!
Centralized Credit Adjudication Credit Center to Underwrite and Process loans Lending decisions made on behalf of the U.S. SBA
Preferred Lender Program (PLP) Portfolio Management Team ensures guarantee is
maintained
All Market Underwritten deals are reviewed for eligibility even if the SBA Credit Center didn’t Underwrite
Weekly pipeline meeting with Sales and Credit Center
Executive oversight of larger deals 3
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Compensation Plan
Sales Variable Compensation Awards Volume Targets top producers Tiered compensation with thresholds at $5MM
Commission Payout Product Variations 7(a) – Greater profitability = higher individual
compensation 504 – Lower profitability = lower individual
compensation
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Compensation Plan Guidelines
Volume goals established at beginning of Plan Year
Maximum Plan Payouts
90 Day Ramp-up period of ineligibility
Claw-Backs if non-performing within first 12 months
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Sample Compensation
Individual YTD Volume $0-$5M $5-10M
$10-15M
Payout =% of Loan Amount
0.75% 1.25% 1.75%
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7(a)
Loan Pricing Variable Fixed
Payout =% of Loan Amount 0.25% .50%
504
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Compensation Adjustments
Referral Fees: Paid to Brokers Maximums apply Alters Payout to
Sales Person
Broker Fee (% of Loan Amount)
Individual Payout Adjustment (% of
Loan Amount)
No Fee +0.05%
<= 0.50% No Change
> 0.50% - 0.05%
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