Glossary · People and paperwork
In short
This is an alternative to prosecution for certain offenses, often involving conditions like community service. It matters because the SBA checks your criminal history as part of its 'Good Character' requirements.
If you've participated in a pretrial diversion program, you'll need to disclose it on SBA Form 1919. The lender will review the specifics to ensure it doesn't indicate a lack of good character, especially concerning financial fraud or dishonesty. Be prepared to provide documentation and an explanation.
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.
Know what you'll need before you apply
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