SBA loan basics
Short answer
For an SBA 7(a) loan, all owners with 20% or more equity must submit a Personal Financial Statement (SBA Form 413) detailing assets, liabilities, and net worth.
SBA Form 413, the Personal Financial Statement, provides a comprehensive overview of the principal's financial position, including cash, investments, real estate, debts, and contingent liabilities. This information is critical for the lender to assess the individual's ability to support the business and their capacity for a personal guarantee.
An owner would list their bank account balances, stock portfolio, value of their primary residence and other real estate, vehicle values, and then list all corresponding mortgages, credit card debts, and other loans. The form calculates their net worth.
Insider move
Lenders scrutinize the Personal Financial Statement for accuracy, completeness, and consistency with other submitted documents. They are particularly interested in the liquidity of assets and the potential for additional collateral or support for the business.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
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.
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