Glossary · People and paperwork
In short
A court order stating you owe money to a creditor, which you haven't yet paid. An SBA lender will flag this as a significant character concern.
Any key principal with an outstanding personal judgment will face major hurdles for SBA loan approval. This indicates a history of failing to meet financial obligations. You must resolve these judgments, often by paying them in full, before an SBA loan can be approved.
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.
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