SBA 7(a) Q&A
Short answer
Lenders will require recent brokerage statements showing ownership of the stocks, documentation of the sale transaction, and bank statements showing the proceeds deposited into your account.
To verify that equity injection funds are from an eligible, unencumbered source, lenders must trace the funds. For stock sales, this means demonstrating ownership of the securities prior to sale, confirming the sale transaction, and tracking the funds into the borrower's bank account for use in the acquisition.
A buyer provides brokerage statements from the past six months, a trade confirmation for a $60,000 stock sale, and personal bank statements showing the $60,000 deposit used for the down payment.
Insider move
Lenders confirm that the stocks were genuinely owned by the borrower, the sale was legitimate, and the proceeds were directly used for the equity injection. They look for any indication of borrowed funds or gifts that are not properly disclosed.
SOP 50 10 - Lender and Development Company Loan Programs
SBA Form 1919 - Borrower Information Form
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.
More on down payment & equity injection
Terms in this answer
Pre-qualify your SBA 7(a) deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to fund a deal like yours and flag anything that trips up approval.
Free · No documents · Usually same-day