Glossary · Your money in the deal
In short
Your personal net worth is the total value of your assets minus your liabilities. Lenders assess it to determine your financial strength and capacity to withstand business risks, impacting your eligibility for an SBA loan.
For an SBA 7(a) loan, if your personal net worth (excluding your primary residence and retirement accounts) is $500,000 or more, you generally must inject 25% equity into the deal. This is a critical factor in the lender's credit decision and a key component of your personal financial statement.
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
SBA Form 1919 — Borrower Information Form
U.S. Small Business Administration · SBA form
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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