Credit Elsewhere Change
SBA has listened to the lending community and has rolled back a change to the SBA program that was released earlier this year. When determining credit elsewhere, SBA is again looking at owners with 20% or more equity in the business (previously 10%). This determination does still include owner’s spouses and minor children. In addition to personal liquidity, SBA will also seek confirmation that funding is not available from other non-government sources.
BLP staff will work with you on your project to ensure this requirement is documented to meet SBA requirements.