{"ok":true,"canonical_url":"https://dealroom.so/for-lenders/questions/what-specific-certifications-about-criminal-history-are-required-from-principals-on-sba-fo","api_url":"https://dealroom.so/api/public/questions/what-specific-certifications-about-criminal-history-are-required-from-principals-on-sba-fo","question":"What specific certifications about criminal history are required from principals on SBA Form 1919 for 7(a) loan eligibility?","topic":"Required forms (1919, etc.)","audience":"lender","bot_mode":"lender","short_answer":"SBA Form 1919 requires principals to certify whether they have been arrested, charged, or convicted of certain criminal offenses, or are currently on probation or parole.","rule":"The form includes specific questions regarding felony convictions within the last year, crimes involving fraud or dishonesty, and any current probation or parole status. Affirmative answers generally require further documentation and review by the lender and potentially the SBA to determine eligibility, especially for crimes impacting character.","example":"During application, a 51% owner checks 'Yes' on SBA Form 1919 regarding a prior felony conviction 15 years ago. The lender reviews the nature of the crime, the disposition, and confirms it does not fall within the current exclusionary periods for character-based eligibility concerns.","what_lenders_check":"Lenders must ensure all principals accurately complete Form 1919 and understand the questions. Any 'Yes' answer requires immediate follow-up to obtain full details and supporting legal documentation for a thorough eligibility assessment, as misrepresentation can jeopardize the guaranty.","required_facts":["SBA Form 1919","Criminal history","Principals certification","Felony conviction","Probation/parole"],"source_families":["SBA Form 1919 - Borrower Information Form","SOP 50 10 - Lender and Development Company Loan Programs","Criminal Justice Reviews for SBA Business Loan Programs - Final Rule"],"official_sources":[{"title":"SBA Form 1919 - Borrower Information Form","url":"https://www.sba.gov/sites/default/files/2025-03/2025.02.27%20Form%201919%20-%20Updates%20%28FINAL%29_03-12-2025%20%281%29.pdf"},{"title":"SOP 50 10 - Lender and Development Company Loan Programs","url":"https://www.sba.gov/sites/default/files/2025-05/SOP%2050%2010%208%20Technical%20Updates%20effective%206.1.2025.docx"},{"title":"Criminal Justice Reviews for SBA Business Loan Programs - Final Rule","url":"https://www.federalregister.gov/documents/2024/04/30/2024-09009/criminal-justice-reviews-for-the-sba-business-loan-programs-disaster-loan-programs-and-surety-bond"}],"related_questions":[{"question":"What specific fields in SBA Form 1919 are most critical for initial eligibility review, and what common errors lead to delays?","url":"https://dealroom.so/for-lenders/questions/what-specific-fields-in-sba-form-1919-are-most-critical-for-initial-eligibility-review-and"},{"question":"What is the lender's responsibility for validating the business purpose and use of proceeds certified on SBA Form 1919?","url":"https://dealroom.so/for-lenders/questions/what-is-the-lender-s-responsibility-for-validating-the-business-purpose-and-use-of-proceed"},{"question":"What is the consequence for a lender if there are inconsistencies between the borrower's SBA Form 1919 and other application documents?","url":"https://dealroom.so/for-lenders/questions/what-is-the-consequence-for-a-lender-if-there-are-inconsistencies-between-the-borrower-s-s"},{"question":"Which specific lender certifications are required on the Lender's Application for Guaranty (or its E-Tran equivalent) to ensure loan eligibility?","url":"https://dealroom.so/for-lenders/questions/which-specific-lender-certifications-are-required-on-the-lender-s-application-for-guaranty"},{"question":"What is the purpose of SBA Form 413, and which individuals must complete it for a 7(a) loan application?","url":"https://dealroom.so/for-lenders/questions/what-is-the-purpose-of-sba-form-413-and-which-individuals-must-complete-it-for-a-7-a-loan-"},{"question":"What is the purpose of SBA Form 413, and which individuals must complete it for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/what-is-the-purpose-of-sba-form-413-and-which-individuals-must-complete-it-for-a-7-a-loan"}],"related_terms":[{"term":"Form 1919","url":"https://dealroom.so/glossary/form-1919"},{"term":"SBA Form 1919 Disclosure","url":"https://dealroom.so/glossary/sba-form-1919-disclosure"},{"term":"criminal history","url":"https://dealroom.so/glossary/criminal-history"},{"term":"Criminal History Disclosure","url":"https://dealroom.so/glossary/criminal-history-disclosure"},{"term":"Certifications","url":"https://dealroom.so/glossary/certifications"},{"term":"Principals","url":"https://dealroom.so/glossary/principals"}],"related_tools":[{"name":"SBA 7(a) payment & fee calculator","url":"https://dealroom.so/sba-7a/calculator"},{"name":"Find an active SBA 7(a) lender","url":"https://dealroom.so/lenders"}],"data_freshness":{"last_reviewed":"2026-06-13","sba_rule_sources_checked_through":"2026-06-13"},"citation":{"label":"DealRoom.so SBA 7(a) Q&A","url":"https://dealroom.so/for-lenders/questions/what-specific-certifications-about-criminal-history-are-required-from-principals-on-sba-fo","source_type":"DealRoom Q&A"},"caveats":["Grounded in the current SBA rulebook; verify against official sources before relying on it for a live deal.","Not legal, tax, or financial advice and not an approval decision."]}