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Investor Presentaiton

Small Business Market – 7(a) - READY CAPITAL. The SBA (1953) is an independent federal agency that guarantees loans to small businesses Eligible participants are banks except for 14 non- bank licenses approved in the 1980s. Eligible small businesses have under $15M net worth and $5M net profit The SBA's lead program is the 7(a) which guarantees 75% of eligible loans up to $5M @ Prime + 275bps maximum rate Originator sells 75% pro-rata interest in loan pooled into SBA Certificates & sold at ~9%+ premium retaining 25% and servicing rights OUTSTANDING 7(a) BALANCE (BILLIONS)1 7(a) LOAN APPROVALS (BILLIONS)1 $120 $30 $25.8 $25.8 $100 $92.4 $95.1 $97.3 $99.7 $25 $23.9 $24.5 $23.6 $22.8 $86.2 $78.8 $80 $73.0 $20 $60 $40 $20 $15 $10 $5 $10.8 $0 $0 2015 2016 2017 2018 2019 2020 2021 2015 2016 2017 2018 2019 2020 2021 1. Source: SBA.gov 17
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