For SBA lenders
Short answer
Lenders typically perfect a lien on intangible assets by filing a UCC-1 Financing Statement with the appropriate state authority, broadly covering 'general intangibles' or specifically identifying the assets.
Under the Uniform Commercial Code (UCC), a security interest in general intangibles (which include customer lists, proprietary software, and intellectual property not covered by federal registration like patents/trademarks) is perfected by filing a UCC-1 Financing Statement. The description of collateral should be sufficiently broad to cover these assets.
A $800,000 7(a) loan is primarily secured by the borrower's software and customer database. The lender files a UCC-1 Financing Statement with the Secretary of State, listing the collateral as 'all assets of the debtor, whether now owned or hereafter acquired, including but not limited to general intangibles, software, and customer lists,' ensuring a perfected security interest.
Insider move
Lenders must ensure proper perfection of liens on all collateral, especially intangible assets which can be harder to define and value. Failure to properly perfect a lien can significantly impair recovery in a liquidation, potentially leading to a guaranty repair.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
Last checked 2026-06-14. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-14 · SBA sources checked through 2026-06-14. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
More on collateral & lien requirements
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