SBA 7(a) Q&A
Short answer
Yes, working capital funds approved as part of an SBA 7(a) loan are typically disbursed at closing and are immediately available for eligible operational expenses, including payroll.
Working capital is intended to provide immediate liquidity for the newly acquired business's day-to-day operations, including covering payroll, utilities, rent, and initial inventory purchases. The funds are generally disbursed as part of the overall loan closing and are accessible to the borrower right away.
A buyer closes on a business acquisition with a $100,000 working capital component. Upon closing, the $100,000 is transferred to the business's operating account. The buyer can immediately use these funds to cover the first post-acquisition payroll, pay outstanding vendor invoices, or purchase initial inventory.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
7(a) Working Capital Pilot Program Guide
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. 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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