Franchise Registry Approved Brands
When an Applicant for SBA financial assistance has or will have a franchise, license, dealer, jobber or similar relationship and such relationship (or product, service or trademark covered by such relationship) is critical to the Applicant’s business operation, the agreement governing the relationship (or product, service or trademark) and any related documents must be reviewed. SBA requires this review in order to determine whether the Applicant and the franchisor, licensor, dealer, or jobber are affiliated for size purposes. Affiliation can result in a determination that the Applicant is not a small business and is therefore ineligible for SBA financing.
Below is a list of the franchise, license, dealer, jobber or similar agreements that have been approved by the SBA Franchise Committee for size/affiliation and control issues. Even when an agreement is listed below, a lender must also follow the process for reviewing the agreement and any additional documentation requirements for an application for SBA financial assistance involving such agreement. That process and the additional documentation requirements are set forth in SBA Standard Operating Procedure 50 10 5(E), Subpart B, Chapter 2 (for 7(a) loans) and Subpart C, Chapter 2 (for 504 loans).
The SBA Franchise Committee’s approval of an agreement does not mean that the Applicant for SBA financial assistance meets all SBA size, eligibility, underwriting and other Loan Program Requirements. Lenders must comply with the process for reviewing such agreements and any applicable documentation requirements, and must consider all SBA Loan Program Requirements in accordance with SOP 50 10 5(E).
You should not construe a business’ presence on or absence from the list below as either an endorsement by SBA or an indication of the business’ quality or profitability.