SBA loan basics
Short answer
Yes, your business must meet specific size standards established by the SBA to be eligible for a 7(a) loan. These standards vary by industry.
The SBA defines "small business" based on either average annual receipts over a specified period or the average number of employees. These standards are listed in the SBA's Table of Size Standards and are critical for program eligibility.
A manufacturing company applies for a 7(a) loan. The SBA's size standard for its specific industry (NAICS code) is 500 employees. If the company has 600 employees, it would be considered too large and ineligible.
Lenders must verify the business's NAICS code and calculate its average annual receipts or employee count, including any affiliated businesses, to ensure it meets the size standard.
SOP 50 10 - Lender and Development Company Loan Programs
13 CFR Part 121 - Small Business Size Regulations
SBA Table of Size Standards
Affiliation and Lending Criteria for SBA Business Loan Programs - Final Rule
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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