Glossary · People and paperwork
In short
An agreement where a prosecutor agrees to drop charges after a period if an individual or company meets certain conditions. For SBA loan applicants, this can raise character eligibility concerns.
The SBA requires all owners of 20% or more to disclose any criminal history, including deferred prosecution agreements, on Form 1919. While not an automatic disqualifier, the SBA will review the nature of the offense and compliance with the agreement. Be prepared to provide full details and documentation to your lender.
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
SBA Form 1919 — Borrower Information Form
U.S. Small Business Administration · SBA form
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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