Glossary · People and paperwork
In short
A court order that releases a debtor from personal liability for most debts included in a bankruptcy filing. It's a critical factor for your eligibility as an SBA loan borrower.
If you've had a bankruptcy, the lender will need to see proof of discharge, typically a court document, to ensure the bankruptcy is fully resolved. A recent discharge or ongoing bankruptcy can complicate or prevent SBA loan approval, as it impacts your creditworthiness and ability to repay.
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.
Know what you'll need before you apply
Tell us about the deal and who's buying — we'll flag the guaranty, eligibility, and paperwork issues that slow SBA approval before they cost you time.
Free · No documents · Usually same-day