For SBA lenders
Short answer
Lenders must obtain a copy of the individual's Green Card (Form I-551) and verify its validity with the U.S. Citizenship and Immigration Services (USCIS) through appropriate channels.
SBA regulations require that all owners of 20% or more of the applicant business be U.S. citizens or lawful permanent residents. For lawful permanent residents, the primary document for verification is the Alien Registration Card, commonly known as a Green Card (Form I-551). Lenders must visually inspect the document and may use the USCIS online system or other official means to confirm its authenticity and current status.
A borrower's application lists an owner with a 25% stake who is a lawful permanent resident. The lender requests a clear copy of the owner's valid Green Card (I-551) and, as part of their due diligence, performs an electronic verification through the USCIS's system to confirm the card's current status and the individual's eligibility.
Policy Notice 5000-876441 - Citizenship and Residency Requirements
Procedural Notice 5000-876626 - Revised Applicant Ownership, Citizenship and Residency
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.
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