When the Government Shuts Down, Murphy Business Brokers Keep Deals Moving!

SBA lending can pause during a government shutdown, but the right preparation keeps deals moving. Here’s how Murphy Business M&A Brokers help clients and lenders stay one step ahead.

A government shutdown can disrupt many parts of the economy, including SBA-backed business acquisitions. During a shutdown, lenders cannot obtain or finalize a Preferred Lender Program (PLP) authorization number from the SBA, which means no SBA loan can close unless that authorization has already been secured in advance of the government shutdown.

At Murphy Business, preparation is the key. Before a shutdown occurs, our team works with lenders to stay ahead of possible delays and keep deals moving wherever possible.

How Murphy Prepares Clients and Lenders

• We help secure SBA authorizations early. When a transaction is nearing approval, our team coordinates with lenders to obtain PLP numbers in advance. This ensures that deals ready to close are not delayed by a government shutdown.
• We keep deals advancing. Even while SBA systems are paused, important work continues. Lenders can complete underwriting, analyze financial statements, gather tax returns, order appraisals, and move legal documentation forward so the loan package is ready once the SBA reopens.
• We set clear expectations with buyers and sellers. Open communication keeps everyone aligned. Buyers understand timelines, sellers know what to expect, and both parties stay engaged and confident while waiting for final authorization.
• We make progress from day one. For new acquisitions, there is still plenty to do before a PLP number is required. Business valuations, financial modeling, due diligence, and document preparation can all be completed early so that transactions move quickly when SBA approvals resume.

The Takeaway

A government shutdown may pause SBA processing, but it does not have to pause your plans to buy or sell a business. With the right preparation and communication, transactions can stay on track and move quickly once the SBA reopens.

If you are considering selling your business or exploring an acquisition, the Murphy Business team is ready to help you navigate the process with confidence.

About the Author

Bill White Jr., BCI, is a Board Certified Intermediary and business broker with Murphy Business Sales of Ohio, serving business owners across Hudson, Akron, Cleveland, Canton, Youngstown, and the greater Northeast Ohio market. He specializes in the confidential sale of privately held businesses including manufacturing, distribution, construction trades, and service companies. Bill is a two-time recipient of the IBBA Chairman’s Circle Award, a multiple-year Murphy Business Top Producer and Multi-Million Dollar Club member, and serves as President of the Northern Ohio Business Brokers Association (NOBBA).