Glossary · The loan itself
In short
This is when the SBA reduces the percentage of its guaranty on a loan due to a lender's failure to follow program rules. It means the lender bears more risk on the loan.
While primarily a lender concern, a Repair of Guaranty can arise if the lender made errors during origination or servicing that violated SBA rules. As a borrower, ensure your lender is compliant. If a Repair of Guaranty occurs, it signals the lender made a mistake, which could indirectly affect how they manage your loan.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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.
See which SBA lenders would fund your deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to approve a 7(a) like yours and flag what trips up approval.
Free · No documents · Usually same-day