Glossary · People and paperwork
Grantor
In short
The person or entity who creates a trust and transfers assets into it. They define the rules for how the trust's assets will be managed and distributed.
What it means in a deal
In an SBA loan context, if a business owner is a grantor of a trust that holds business assets or equity, the SBA will scrutinize the trust agreement. The grantor may be required to personally guarantee the loan, as they often retain control or beneficial interest.
Official sources
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
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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