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SBA loan qualification

Question
What do I need to qualify for an SBA loan guaranty? 
Answer
Every application for an SBA 7 (a) loan guaranty must be received from an SBA approved lender who has approved the transaction, including a credit check, subject to SBA approval.

In order to get a 7(a) loan, an applicant must:

- Satisfy applicable credit factors

- Qualify as a small business

- Be able to repay the loan from business cash flow

- Display good character

- Show management capability

- Have adequate collateral

All owners of 20 percent or more of an applicant company are required to personally guarantee SBA loans. 
Brain Trust contributor: Author of Instant Profits: Making Your Business Pay
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