For SBA lenders

What documentation is required for equity injection funds transferred from a foreign bank account?

Short answer

Lenders require bank statements from the foreign account, wire transfer confirmations, and statements from the receiving U.S. account to verify foreign-sourced equity injection.

The rule

Equity injection funds from foreign sources must be thoroughly documented to prove they are unencumbered, verifiable, and legally transferred. This includes detailed statements from the foreign bank account showing the origination of funds, wire transfer receipts, and the corresponding deposit into a U.S. bank account in the borrower's name, free of liens or conditions.

Facts that matter

Foreign bank account
Wire transfer
Bank statements
Unencumbered funds
Traceability

Example structure

A borrower indicates a $150,000 equity injection from their savings account in Canada. The lender would request the Canadian bank statements showing the funds, the wire transfer confirmation to their U.S. business account, and the U.S. bank statement reflecting the deposit, ensuring the funds are now in the U.S. and available for the business.

What documentation is required for equity injection funds transferred from a foreign bank account?

The rule

Facts that matter

Example structure

What lenders usually care about

Official sources