Glossary · The loan itself
In short
This refers to how well a borrower is meeting their loan repayment obligations. For an SBA loan, good performance means making timely payments according to the agreed-upon terms, avoiding default.
Lenders monitor your "loan performance" closely. Maintaining a "performing status" by making all principal and interest payments on time is critical. Poor performance can lead to late fees, a "default rate," and ultimately, "loan default" and a "call of the guaranty."
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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