SBA 7(a) Q&A
Short answer
Yes, an SBA 7(a) loan can include funds for working capital, which can be used for initial employee salaries and other operational expenses.
Working capital is an eligible use of 7(a) loan proceeds to help a business cover its initial operating expenses and bridge cash flow gaps, especially during an ownership transition. This includes salaries, rent, utilities, and inventory.
If you acquire a business and need $50,000 for the first three months of employee salaries, this amount can be included as part of the overall 7(a) loan request under the working capital component.
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
SOP 50 10 - Lender and Development Company Loan Programs
Types of 7(a) Loans
Last checked 2026-06-14. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-14 · SBA sources checked through 2026-06-14. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
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