SBA Loan RequirementsChecklist 2024

Complete checklist of SBA loan requirements, documents, and eligibility criteria. Download our free checklist and prepare your application with confidence.

95%
Approval rate with complete applications
30+
Required documents for SBA loans
6-8
Weeks typical preparation time
60-90
Days typical approval timeline

SBA Loan Eligibility Criteria

Before gathering documents, ensure your business meets these basic SBA loan eligibility requirements.

Business Eligibility

  • Small business size standards (varies by industry)
  • For-profit business operating in the United States
  • Business owner investment of at least 10% of project cost
  • Operating business for at least 2 years (preferred)
  • Demonstrate ability to repay the loan

Owner Eligibility

  • U.S. citizen or legal permanent resident
  • Owners with 20%+ ownership must personally guarantee
  • Good character and management experience
  • No delinquent government debt
  • No recent bankruptcies or foreclosures

Credit Requirements

  • Personal credit score of 680+ preferred
  • Business credit score of 75+ preferred
  • Debt-to-income ratio below 50%
  • Cash flow to support debt payments
  • Collateral equal to loan amount (when available)

Personal Documentation Requirements

All business owners with 20% or greater ownership must provide these personal documents.

Personal Credit & Financial

R

Personal Credit Report (680+ score preferred)

Recent credit report from all three bureaus

R

Personal Financial Statement (SBA Form 413)

Complete assets, liabilities, and net worth

R

Personal Tax Returns (3 years)

Form 1040 with all schedules and W-2s

R

Personal Bank Statements (3 months)

All personal checking and savings accounts

R

Resume/Business Experience Summary

Relevant industry and management experience

Business Documentation

R

Business License & Permits

Current business license and industry permits

R

Articles of Incorporation/Organization

Official formation documents from state

R

Operating Agreement/Bylaws

Internal governance documents

R

EIN Confirmation Letter

IRS confirmation of Employer ID Number

R

Business Registration/Good Standing Certificate

Current certificate from Secretary of State

Business Financial Documentation

Comprehensive financial documentation demonstrating business performance and cash flow.

Financial Statements

Last 3 Years
R

Profit & Loss Statements

Monthly or quarterly P&L statements

R

Balance Sheets

Assets, liabilities, and equity positions

R

Cash Flow Statements

Cash inflows and outflows

R

Business Tax Returns

Form 1120, 1120S, or 1065 with all schedules

R

Year-to-Date Financial Statements

Current year P&L and balance sheet

Banking & Credit

Last 3-12 Months
R

Business Bank Statements

All business checking and savings accounts

O

Business Credit Report

Dun & Bradstreet, Experian, or Equifax

O

Accounts Receivable Aging

Outstanding customer invoices

O

Accounts Payable Summary

Outstanding vendor bills

R

Debt Schedule

All existing business and personal debts

Additional Documentation

Situation-specific documents that may be required based on your loan purpose and business type.

Business Plan & Projections

Strategic planning documents

R

Complete Business Plan

25-40 page comprehensive business plan

R

Financial Projections (3-5 years)

Revenue, expense, and cash flow forecasts

R

Use of Funds Statement

Detailed breakdown of how loan will be used

O

Market Analysis

Industry research and competitive analysis

Real Estate & Collateral

Property and asset documentation

O

Real Estate Purchase Agreement

If buying property with loan proceeds

O

Property Appraisal

Professional appraisal for real estate collateral

O

Equipment Quotes/Invoices

For equipment financing purchases

O

Lease Agreements

Current business location lease

Special Situations

Additional requirements for specific scenarios

O

Franchise Agreement

If purchasing or operating a franchise

O

Business Acquisition Agreement

If buying an existing business

O

Environmental Assessment

Phase I environmental for certain properties

O

Management Agreements

If using professional management companies

Application Preparation Timeline

Follow this timeline to efficiently prepare your SBA loan application in 6-8 weeks.

1

Phase 1: Document Gathering

2-4 weeks
  • Collect 3 years of tax returns
  • Obtain current financial statements
  • Gather business formation documents
  • Pull credit reports
2

Phase 2: Financial Preparation

1-2 weeks
  • Complete personal financial statement
  • Prepare business financial projections
  • Create use of funds statement
  • Organize bank statements
3

Phase 3: Business Plan

2-3 weeks
  • Write comprehensive business plan
  • Include market analysis
  • Detail management team
  • Professional formatting and review
4

Phase 4: Application Review

1 week
  • Review all documents for completeness
  • Verify accuracy of all information
  • Organize documents logically
  • Submit to lender or SBA

SBA Application Success Tips

Expert tips to increase your SBA loan approval chances and speed up the process.

Organize Documents Logically

Create a systematic filing system that matches lender requirements

Provide Complete Information

Incomplete applications cause delays and may lead to rejection

Include Cover Letters

Explain any unusual circumstances or credit issues upfront

Double-Check Accuracy

Verify all numbers match across different documents

Professional Presentation

Use consistent formatting and high-quality document copies

Work with SBA Lenders

Choose lenders experienced with SBA loan processing

Download Complete SBA Loan Checklist

Get our comprehensive PDF checklist with all requirements, document templates, and preparation timeline.

Calculate SBA Loan

SBA Requirements FAQs

What documents are absolutely required for all SBA loans?

Essential documents include: personal/business tax returns (3 years), personal financial statement, business financial statements, business plan, use of funds statement, and personal/business credit reports. Additional documents may be required based on loan amount and purpose.

How far back do I need financial statements?

Generally 3 years of business financial statements and tax returns. For newer businesses (under 3 years), provide all available historical data plus detailed projections for the remaining period.

Do I need collateral for SBA loans?

Collateral is required when available. The SBA typically requires collateral equal to the loan amount, but this doesn't disqualify you if insufficient collateral exists. Personal guarantees are required from owners with 20%+ ownership.

Can I submit documents electronically?

Yes, most SBA lenders accept electronic documents. However, some may require original copies of certain documents. Check with your specific lender for their document submission preferences.

What if I'm missing some required documents?

Don't submit an incomplete application. Missing documents cause delays and may hurt your approval chances. Work with your lender to obtain all required documents before submitting.

Document Legend

R
Required
O
Optional/Situational

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