{"ok":true,"canonical_url":"https://dealroom.so/glossary/parole","api_url":"https://dealroom.so/api/public/glossary/parole","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":"parole","term":"Parole","group":"People and paperwork","definition":"The conditional release of a prisoner before their full sentence is served, subject to specific supervision and rules. Like probation, it impacts SBA loan eligibility.","what_it_means":"Similar to probation, being on parole for a felony or a crime involving moral turpitude (like fraud or embezzlement) makes you ineligible for an SBA loan. The SBA requires all key principals to have \"good character,\" and an active parole status typically disqualifies an applicant. Always be transparent about any criminal history on SBA Form 1919.","url":"https://dealroom.so/glossary/parole","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":"probation","term":"Probation","url":"https://dealroom.so/glossary/probation"},{"slug":"felony","term":"Felony","url":"https://dealroom.so/glossary/felony"},{"slug":"breach-of-trust","term":"Breach of Trust","url":"https://dealroom.so/glossary/breach-of-trust"},{"slug":"fraud","term":"Fraud","url":"https://dealroom.so/glossary/fraud"}],"related_questions":[{"question":"Can a business be eligible for a 7(a) loan if a principal is currently on probation or parole for a felony?","url":"https://dealroom.so/for-lenders/questions/can-a-business-be-eligible-for-a-7-a-loan-if-a-principal-is-currently-on-probation-or-paro"}]},"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 — Parole","url":"https://dealroom.so/glossary/parole","source_type":"DealRoom Data"}}