Glossary · The loan itself
In short
Specific types of businesses that the SBA will not provide loans for, regardless of their financial health. These include businesses involved in gambling, passive investments, or those with a history of illegal activities.
Before investing significant time, ensure the target business is not on the SBA's list of ineligible categories. Your lender will perform a NAICS code check and review the business's operations. If the business falls into an ineligible category, an SBA 7(a) loan is simply not an option.
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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