Glossary · The loan itself
In short
This is the process of pledging assets, like the business's equipment or real estate, to secure a loan. For your SBA 7(a) loan, the SBA requires sufficient collateral to protect the lender in case you default, making it a critical aspect of loan approval.
Your SBA 7(a) loan will be collateralized by all business assets and often personal assets if the business assets aren't enough. The lender will conduct a Collateral analysis to determine what's available. Understand what you're pledging and ensure the valuation is fair.
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.
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