SBA loan basics
Short answer
Yes, certain personal assets that you already own, such as unencumbered equipment or real estate, can potentially count towards your SBA 7(a) down payment (equity injection), if properly valued and documented.
The SBA allows for non-cash assets to be included in the equity injection, provided they are essential to the business, contributed at fair market value, and are not encumbered by other debts.
Sarah is starting a landscaping business and already owns a commercial-grade truck and specialized mowing equipment worth $40,000, free and clear. This $40,000 can be valued and contributed as part of her equity injection.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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
SBA 7(a) Loans Overview
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.
More on down payment & equity injection
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