{"ok":true,"canonical_url":"https://dealroom.so/glossary/additional-collateral","api_url":"https://dealroom.so/api/public/glossary/additional-collateral","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"additional-collateral","term":"Additional collateral","group":"The loan itself","definition":"This is an asset, beyond the business itself, that you pledge to secure the loan. It's often required when the business assets alone don't fully cover the SBA loan amount.","what_it_means":"The SBA mandates that lenders take all available equity in business and personal assets to secure a loan, especially when there's a collateral gap. This could include a second lien on your personal residence, investment properties, or marketable securities. Understand what assets you might need to pledge and its impact on your personal balance sheet.","url":"https://dealroom.so/glossary/additional-collateral","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"},{"slug":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"}],"related":[{"slug":"collateral","term":"Collateral","url":"https://dealroom.so/glossary/collateral"},{"slug":"collateral-gap","term":"Collateral gap","url":"https://dealroom.so/glossary/collateral-gap"},{"slug":"personal-real-estate","term":"Personal real estate","url":"https://dealroom.so/glossary/personal-real-estate"},{"slug":"marketable-securities","term":"Marketable securities","url":"https://dealroom.so/glossary/marketable-securities"}],"related_questions":[{"question":"When is personal real estate typically required as additional collateral?","url":"https://dealroom.so/sba-7a/questions/when-is-personal-real-estate-typically-required-as-additional-collateral"},{"question":"Can my personal residence be required as additional collateral for a larger SBA loan?","url":"https://dealroom.so/sba-7a/questions/can-my-personal-residence-be-required-as-additional-collateral-for-a-larger-sba-loan"},{"question":"When is personal real estate typically required as additional collateral for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/when-is-personal-real-estate-typically-required-as-additional-collateral-for-a-7-a-loan"},{"question":"What if my personal assets (like a boat or second home) could serve as additional collateral?","url":"https://dealroom.so/sba-7a/questions/what-if-my-personal-assets-like-a-boat-or-second-home-could-serve-as-additional-collateral"},{"question":"Can pledged marketable securities, like stocks, serve as additional collateral for an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/can-pledged-marketable-securities-like-stocks-serve-as-additional-collateral-for-an-sba-7-"},{"question":"When is a lien on personal real estate required as additional collateral for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/when-is-a-lien-on-personal-real-estate-required-as-additional-collateral-for-a-7-a-loan"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Additional collateral","url":"https://dealroom.so/glossary/additional-collateral","source_type":"DealRoom Data"}}