Glossary · The loan itself
In short
Specific criteria established by the SBA that both the borrower and the business must meet to qualify for a 7(a) loan. These rules cover everything from business type to owner citizenship.
Before investing significant time and money, ensure both you and the target business comply with all SBA Eligibility Rules. Common pitfalls include businesses on the ineligible list (e.g., passive businesses, non-profits) or owners failing citizenship/credit requirements. Your lender will rigorously check these before approving your loan.
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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