- Steps in SBA Lending
- 7(a) Loans
- 7(a) Loan Package Templates
- Standard 7(a) Authorization Wizard
- Standard 7(a) Authorization File Library
- Standard 7(a) Boilerplate
- CAPLines Authorization Wizard
- CAPLines Boilerplate
- CAPLines Authorization File Library
- EWCP Authorization Wizard
- EWCP Boilerplate
- EWCP Authorization File Library
- Community Express Authorization Template
- SBA Express-Patriot Express Authorization Template
- SLA Loan Authorization
- 7(a) Loan Evaluation Criteria
- Preparing to Submit a 7(a) Loan Package
- PLP Loan Eligibility
- 7(a) Loan Package Templates
- Preparing for Servicing a 7(a) Loan
- Preparing for Servicing an Express Loan
- 7(a) Servicing Checklist for PLP or Express Loans
- 7(a) Servicing and Liquidation Actions Matrix
- Top 10 Screen Out Reasons
- Reinstatement of SBA Guaranty
- Transfer of Participation
- Preparing for 7(a) Liquidation Submission
- Entering a 7(a) Loan Into Liquidation
- Closing the Liquidation Process
- NGPC Liquidation Processing
- Preparing a Liquidation Plan
- Care & Preservation of Collateral Tabs (CPC Tabs)
- Offer in Compromise Tabs (OIC Tabs)
- Sale-Release of Collateral
- Guaranty Purchase
- Requesting Purchase for a 7(a) Loan
- Preparing a 7(a) Purchase Package
- Preparing an Express Purchase Package
- Electronically Submit Your Package
- Denials of Liability & Repairs
- Top Reasons for Repair & Denial
- Secondary Market Purchase
- 7(a) Terms & Conditions
- 7(a) Eligibility
- CDC/504 Loans
- Preparing to Submit a 504 Authorization Package
- CDC/504 Authorization Package Templates
- CDC/504 Application Process
- Section 504 Loan Application
- CDC/504 Evaluation Criteria
- 7(a) Loans
- SBA Loan Programs
- 7(a) Loan Programs
- Permanent 7(a) Loan Programs
- Pilot 7(a) Loan Programs
- Rural Business Investment Program (RBIP)
- New Markets Venture Capital Program
- CDC/504 Loan Program
- Microloan Program
- Disaster Loan Program
- Loan Program Quick Reference Guide
- 7(a) Loan Programs
- Working with The SBA
- Become an SBA Lender
- How to Participate in the PLP
- How to Participate in the CLP
- Other Partnerships with SBA
- How to become a PRIME Lender
- How to become a Microloan intermediary
- How to Participate in the Surety Bond Guarantee Program
- How to Become a Member of the SBIC Program
- Become an Express Lender
- Franchise Findings
- Advertising SBA Relationship
- Search Lender Docs
- Find a SBA Resource
- Commercial Loan Service Center (Little Rock, AR)
- Commercial Loan Service Center (Fresno, CA)
- National Guaranty Purchase Center (Herndon, VA)
- Sacramento Loan Processing Center (SLPC)
- 7a Loan Guaranty Processing Center (Citrus Heights, CA)
- IRS Contact Information
- National Disaster Loan Resolution Center (NDLRC)
- Submit Your Forms
- Search SBA Lenders
- Secondary Market
- Lender Reports & Data
- Lender Reporting
- Lender & Loan Data
- Lender E-Payments
- Lender Portal
- Who is eligible for E-tran?
- What is the maximum interest rate?
- Isn’t floor plan financing available through GMAC?
- What can be financed?
- What is the underwriting process?
- Are there some actions that the lender can take unilaterally first and then tell SBA after the fact?
- Are there some servicing actions that must receive prior approval by SBA?
- Does SBA have to approve these payment modifications?
- Can payment modifications be made to loans sold on the Secondary Market?
- What provisions of SBA’s SOP address these payment modifications?
- What types of payment modifications are available in connection with an SBA guaranteed loan?
- How do I get started using E-Tran?
- How does E-Tran work?
- What are lenders saying about E-tran?
7(a) Loan Programs
Banks, savings and loans, credit unions, and other specialized lenders participate with SBA on a deferred basis to provide small business loans that are structured under 7(a) guidelines. Lending partners must execute an SBA Form 750, Deferred Participation Agreement, which establishes the terms under which SBA will guarantee a loan submitted by the lender.
When a lending partner applies to SBA for a guaranty on a proposed loan, it must certify that it would only make the loan if SBA guarantees it. SBA then decides whether to guarantee the loan based on the information provided in the loan application.
When a loan is guaranteed by SBA, certain conditions are imposed on the lending institution. Some of these conditions are related to how the lender must close and administer the account; others are imposed on the borrower, and pertain to the business or its owner(s). The borrower must agree to these requirements as a condition for obtaining the loan.
If a guaranteed loan defaults, the lender may request SBA to purchase the guaranteed portion.
SBA offers its lending partners a variety of methods for applying for a guaranty on proposed loans. The differences are related to the levels of authority and responsibility the lender and SBA have in making decisions associated with processing, closing, and administering each loan. Lenders are given authority to take on more of these responsibilities based on their experience and performance with SBA. The better a lender has conducted its analysis and performed administrative functions in the past, the more likely SBA will not have to re-analyze or check these factors in the future.
To participate in the 7(a) Loan Program, a lender must meet the following requirements as indicated in the Code of Federal Regulations (CFR):
Have a continuing ability to evaluate, process, close, disburse, service and liquidate small business loans;
Be open to the public for the making of such loans (and not be a financing subsidiary, engaged primarily in financing the operations of an affiliate);
Have continuing good character and reputation, and otherwise meet and maintain the ethical requirements as identified in 13 CFR Sec. 120.140;
Be supervised and examined by a state or Federal regulatory authority, satisfactory to SBA.
For More Information
For more information and to begin a lending partner relationship with SBA, contact the local SBA District Office.
To submit a standard 7(a) guaranty application, view the Standard 7(a) Guaranty Application Submission Instructions.
View SBA's permanent 7(a) loan programs below.
View SBA's pilot 7(a) loan programs below.