SBA 7(a) Q&A
Short answer
Yes, working capital can be included in an SBA 7(a) loan for a partner buyout to support the business's operational needs post-transaction.
SBA 7(a) loans can finance a reasonable amount of working capital necessary for the business to operate effectively after a change of ownership. This ensures the business has sufficient liquidity to cover expenses, manage inventory, and support growth during the transition period.
If a $750,000 partner buyout also requires $100,000 for immediate operational expenses and inventory purchases, the SBA loan could be structured for $850,000 to cover both the buyout and the working capital components.
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-15 · SBA sources checked through 2026-06-15. DealRoom analysis of the current SBA 7(a) rulebook for change-of-ownership / partner buyouts. 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.
More on partner & owner buyout
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This page answers “Can working capital be included in an SBA 7(a) partner buyout loan?” for SBA 7(a) business buyers — a short answer, the detail, and official sources — from DealRoom.so SBA Intelligence. It is general information, not legal, tax, or financial advice, and DealRoom is not a lender.
Source: DealRoom.so SBA Intelligence, based on public SBA, lender, franchise, FDIC, and related records. DealRoom is not a lender and does not guarantee financing.
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