Glossary · The loan itself
In short
When a borrower wants to swap out one piece of collateral securing their SBA loan for another. This happens after the loan closes and requires SBA approval.
If you need to sell an asset that was pledged as collateral, like real estate, you'll need to offer a suitable replacement. The SBA needs to ensure the new collateral provides equivalent security for the loan. Work with your lender to submit the request and valuation of the proposed new collateral to the SBA for approval.
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