{"ok":true,"canonical_url":"https://dealroom.so/glossary/felony","api_url":"https://dealroom.so/api/public/glossary/felony","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":"felony","term":"Felony","group":"People and paperwork","definition":"A felony is a serious crime, typically punishable by imprisonment for more than a year. Any past felony conviction, especially recent ones or those involving financial misconduct, is a major barrier to SBA loan eligibility.","what_it_means":"The SBA requires all owners to disclose felony convictions on Form 1919. If you're currently under indictment, on probation, parole, or have a recent conviction for certain financial crimes, your application will be denied. Be honest about your history to avoid allegations of fraud.","url":"https://dealroom.so/glossary/felony","official_sources":[{"slug":"sba-form-1919","title":"SBA Form 1919 — Borrower Information Form","official_url":"https://www.sba.gov/document/sba-form-1919-borrower-information-form","official_label":"View on SBA.gov","authority_tier":4,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sba-form-1919"},{"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"}],"related":[{"slug":"fraud","term":"Fraud","url":"https://dealroom.so/glossary/fraud"},{"slug":"embezzlement","term":"Embezzlement","url":"https://dealroom.so/glossary/embezzlement"},{"slug":"misdemeanor","term":"Misdemeanor","url":"https://dealroom.so/glossary/misdemeanor"},{"slug":"good-character","term":"Good character","url":"https://dealroom.so/glossary/good-character"}],"related_questions":[{"question":"What if I have a prior felony conviction on my record?","url":"https://dealroom.so/sba-loans/basics/what-if-i-have-a-prior-felony-conviction-on-my-record"},{"question":"Will a felony conviction prevent me from getting an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/will-a-felony-conviction-prevent-me-from-getting-an-sba-7-a-loan"},{"question":"What if a principal has a recent criminal history that is not a felony?","url":"https://dealroom.so/for-lenders/questions/what-if-a-principal-has-a-recent-criminal-history-that-is-not-a-felony"},{"question":"What if an applicant business owner has a recent felony conviction that has been discharged?","url":"https://dealroom.so/for-lenders/questions/what-if-an-applicant-business-owner-has-a-recent-felony-conviction-that-has-been-discharge"},{"question":"What is the specific look-back period for an owner's prior felony conviction on SBA Form 1919?","url":"https://dealroom.so/for-lenders/questions/what-is-the-specific-look-back-period-for-an-owner-s-prior-felony-conviction-on-sba-form-1"},{"question":"When can a criminal record or felony conviction render a borrower ineligible for an SBA 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/when-can-a-criminal-record-or-felony-conviction-render-a-borrower-ineligible-for-an-sba-7-"}]},"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 — Felony","url":"https://dealroom.so/glossary/felony","source_type":"DealRoom Data"}}