For SBA lenders
Short answer
For interstate operations, a lender must typically file a UCC-1 financing statement in the state where the borrower (debtor) is legally organized. If the collateral includes real estate or fixtures, additional filings may be required in the state where the property is located.
Under the Uniform Commercial Code (UCC), the proper place to file a financing statement to perfect a security interest in most types of business collateral (e.g., equipment, inventory, accounts receivable) is the jurisdiction where the debtor is located. For an entity, this is generally its state of organization. For real estate or fixtures, a local filing in the county where the property is situated is necessary. Failing to file in the correct jurisdiction can render the lien unperfected and subordinate to other creditors.
A business incorporated in Delaware (debtor's location) operates its primary facility in New Jersey, with collateral including equipment and accounts receivable. The lender files a UCC-1 in Delaware to perfect its blanket lien. If the loan also involves a lien on the New Jersey facility (real estate or fixtures), an additional filing would be necessary with the appropriate county recorder in New Jersey.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. 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
Terms in this answer
Pre-qualify your SBA 7(a) deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to fund a deal like yours and flag anything that trips up approval.
Free · No documents · Usually same-day