Glossary · People and paperwork
In short
This is an individual who personally guarantees an SBA loan and has sufficient personal cash or marketable securities to cover potential losses. Lenders look for this to strengthen the loan's security.
As a buyer and usually the primary guarantor, you'll need to demonstrate sufficient personal liquidity. Lenders scrutinize your Personal Financial Statement and supporting bank and brokerage statements to ensure you meet the SBA's requirements for an equity injection and have sufficient reserves.
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.
Know what you'll need before you apply
Tell us about the deal and who's buying — we'll flag the guaranty, eligibility, and paperwork issues that slow SBA approval before they cost you time.
Free · No documents · Usually same-day