SBA's personal financial statement. Each 20 percent owner and each guarantor except a supplemental guarantor gives one, or the lender's own equivalent, signed and dated within 90 days.
The lender must obtain a personal financial statement from every individual who guarantees the loan, and from every owner of 20 percent or more, except supplemental guarantors, who are people added for credit reasons without regard to ownership. The lender may use SBA Form 413 or its own equivalent. For a 7(a) request it must be signed and dated within 90 days of the lender’s submission to SBA, and business financial statements within 120 days.
For an owner, the statement includes the assets of the owner’s spouse and minor children. A spouse who is not an owner does not have to sign the statement, but must sign the collateral documents. A spouse who owns less than 20 percent must guarantee the loan when the couple and their minor children together own 20 percent or more.
On a 504 project the development company collects the same statement and also the last year’s federal tax return from each 20 percent owner and each guarantor. Example: a statement signed on March 1 is current through May 30, 90 days later.
How it shows up in the data here
Not public. Personal financial statements are never in the SBA loan file or on this site, which show only a loan's amount, rate, industry and place. Ask the lender which form it uses and how recent it must be.
Go further
- Package checklist: SBA 7(a) loan: Where the form sits in the order lenders ask.
- SBA 7(a) loan package checklist: A 7(a) package is the bank's usual file plus SBA's own list. Know which items SBA requires and you can have them ready before the first call.
- SBA 504 loan package checklist: A 504 project has three parties, two loans and a closing date set by a monthly bond sale. Build the package for all three.
Related terms
- SBA Form 1919 (Borrower Information Form): The form each 7(a) co-borrower signs and gives the lender. It reports employees and jobs and the purpose of the loan, and the lender keeps the signed form and enters its data into SBA's system.
- IRS tax transcript (Form 4506-C and 8821): The IRS record of a filed return that an SBA lender orders itself, with Form 4506-C through IVES or Form 8821, to check the numbers it was given.
- SBA collateral requirements (7(a)): SBA's rules for what a 7(a) lender must take as collateral and how each asset counts, such as improved real estate at 85 percent of value. A request must not be declined only for thin collateral.
- SBA 7(a) loan: SBA's main business loan program. A lender makes the loan and SBA guarantees part of it: up to 85 percent of $150,000 or less and 75 percent of more, on loans up to $5,000,000.
Sources
Plain definitions for orientation, not legal, tax or credit advice. A lender's own policy decides what it will do.