Glossary · Doing the deal
In short
This is a timeline detailing when funds from a loan for construction or renovation will be released, typically based on completed work stages. Buyers need to understand it to manage project cash flow and contractor payments.
If your SBA 7(a) loan includes funds for construction or major renovation, the lender will set up a disbursement schedule. Funds are not released all at once; instead, they're paid out as specific milestones are met, often after inspections. You need to coordinate this closely with your contractors to avoid payment delays and ensure project continuity.
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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