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SBA 7(a) Loan Guaranty

Definition of SBA 7(a) Loan Guaranty

The 7(a) Loan Guaranty Program is one of SBA's primary lending programs.
(Definition continues below)

It provides loans to small businesses unable to secure financing on reasonable terms through normal lending channels. The program operates through private-sector lenders that provide loans which are, in turn, guaranteed by the SBA.

In the event of default by the borrower, the SBA is willing to reimburse up to 85% of the loss that the lender would otherwise sustain.

SBA 7(a) Loan Guaranty References On This Site

These Gaebler.com articles mention this glossary term:

Small Business Stimulus Programs - If you are thinking of applying for an SBA loan, you will be happy to know that SBA 7(A) loan guarantees have been increased to up to 90% of a...
Small Business Stimulus Programs - If you are thinking of applying for an SBA loan, you will be happy to know that SBA 7(A) loan guarantees have been increased to up to 90% of a...

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