{"ok":true,"canonical_url":"https://www.capbench.com/glossary/gift-fund","api_url":"https://www.capbench.com/api/public/glossary/gift-fund","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-17","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","CapBench lender and franchise enrichment"],"term":{"slug":"gift-fund","term":"Gift Fund","group":"Your money in the deal","definition":"Money provided by an immediate family member to a borrower for their equity injection, which must be a true gift, not a loan with repayment expectations.","what_it_means":"The SBA allows gift funds to count towards your equity injection, but strict rules apply. The donor must be an immediate family member and sign a gift letter confirming the funds are an irrevocable gift. The funds should ideally be seasoned, or fully documented if recent, to show they're truly yours.","url":"https://www.capbench.com/glossary/gift-fund","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://www.capbench.com/sba-7a/sources/sop-50-10"},{"slug":"sba-form-1919","title":"SBA Form 1919 — Borrower Information Form","official_url":"https://www.sba.gov/document/sba-form-1919-borrower-information-form","official_label":"View on SBA.gov","authority_tier":4,"publisher":"U.S. Small Business Administration","source_guide_url":"https://www.capbench.com/sba-7a/sources/sba-form-1919"}],"related":[{"slug":"equity-injection","term":"Equity injection","url":"https://www.capbench.com/glossary/equity-injection"},{"slug":"gift-letter","term":"Gift letter","url":"https://www.capbench.com/glossary/gift-letter"},{"slug":"seasoned-funds","term":"Seasoned funds","url":"https://www.capbench.com/glossary/seasoned-funds"},{"slug":"capital-contribution","term":"Capital Contribution","url":"https://www.capbench.com/glossary/capital-contribution"}],"related_questions":[{"question":"What specific documentation is required for gift funds used for an equity injection?","url":"https://www.capbench.com/sba-7a/questions/what-specific-documentation-is-required-for-gift-funds-used-for-an-equity-injection"},{"question":"Can gift funds from a non-family investor count towards my down payment?","url":"https://www.capbench.com/sba-7a/questions/can-gift-funds-from-a-non-family-investor-count-towards-my-down-payment"},{"question":"Can an investor fund my SBA 7(a) down payment?","url":"https://www.capbench.com/sba-7a/questions/can-an-investor-fund-my-sba-7-a-down-payment"},{"question":"How does life insurance effectively fund a business buy-sell agreement?","url":"https://www.capbench.com/sba-7a/questions/how-does-life-insurance-effectively-fund-a-business-buy-sell-agreement"},{"question":"Can gift funds from a non-U.S. citizen parent be used for my equity injection?","url":"https://www.capbench.com/sba-7a/questions/can-gift-funds-from-a-non-u-s-citizen-parent-be-used-for-my-equity-injection"},{"question":"Can I use gift funds from family members for my SBA 7(a) loan down payment?","url":"https://www.capbench.com/sba-7a/questions/can-i-use-gift-funds-from-family-members-for-my-sba-7-a-loan-down-payment"}]},"caveats":["Definitions represent CapBench's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"CapBench Glossary — Gift Fund","url":"https://www.capbench.com/glossary/gift-fund","source_type":"CapBench Data"}}