Glossary · The loan itself
In short
This is an asset, beyond the business itself, that you pledge to secure the loan. It's often required when the business assets alone don't fully cover the SBA loan amount.
The SBA mandates that lenders take all available equity in business and personal assets to secure a loan, especially when there's a collateral gap. This could include a second lien on your personal residence, investment properties, or marketable securities. Understand what assets you might need to pledge and its impact on your personal balance sheet.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
See which SBA lenders would fund your deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to approve a 7(a) like yours and flag what trips up approval.
Free · No documents · Usually same-day