The SBA only designates a Preferred Lender Program (PLP) status to certain lenders under very stringent guidelines. Once the lender receives the PLP status, the SBA provides the bank with delegated authority to approve the loan. For borrowers, this means faster turnaround times with a local community focus. Additionally, commitment letters can be processed quickly whereas it may take non-preferred lenders a lengthier process to vet out the request. Non-preferred lenders must submit their application packages to the SBA for processing approval. This extra step can add several weeks to the overall process.