SBA 7(a) Q&A
Short answer
Yes, the acquired business's accounts receivable are commonly accepted as collateral for an SBA 7(a) loan, as they represent a liquid asset that can be converted to cash.
The SBA generally requires all available business assets to be pledged as collateral. Accounts receivable, being current assets, are typically included in the blanket lien on business assets. Lenders assess their quality and collectability.
If a business has $200,000 in accounts receivable, the lender will include these in the collateral package, typically taking a first lien position on all business assets, including A/R.
Lenders evaluate the age and quality of the accounts receivable, considering factors like customer concentration, payment history, and bad debt reserves to determine their true collateral value.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
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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