Glossary · People and paperwork
In short
This is a legal claim placed on your personal property, such as your home or investment accounts. It serves as collateral, allowing the lender to seize those assets if you default on your business loan.
For nearly all SBA 7(a) loans, the lender will require a lien on your personal assets as part of your personal guarantee. This is standard practice to secure the loan. Ensure you understand which specific assets are included and what the recourse provisions are in the loan agreement.
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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