Glossary · People and paperwork
Approved lender
In short
A financial institution authorized by the SBA to originate, underwrite, and service 7(a) loans. These are the only banks that can make SBA-guaranteed loans.
What it means in a deal
You must work with an Approved Lender to secure an SBA 7(a) loan. They handle the entire application process and ensure compliance with SBA rules. Look for lenders with experience in business acquisition loans and a strong understanding of your industry.
Official sources
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Related terms
Common questions about Approved lender
- What resources are available to help me find an SBA-approved lender?
- How can I find an SBA-approved lender to apply for a 7(a) loan?
- How quickly can an SBA 7(a) loan be approved if my lender is a Preferred Lender Program (PLP) participant?
- When a variable rate 7(a) loan is approved, how frequently can the lender adjust the interest rate?
- How long should I typically wait for a definitive 'approved' or 'denied' response after my lender submits the complete package?
- How quickly can I get approved for an SBA 7(a) loan?
Defined by CapBench SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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