Glossary · Your money in the deal
Inherited funds
In short
Money received from an estate or as a gift, which can be used for your equity injection in an SBA loan. These funds must be properly documented.
What it means in a deal
If you're using inherited funds for your equity injection, the lender will require documentation like probate court orders or gift letters to verify the source and ensure they are unencumbered. These funds are considered seasoned if they've been in your possession for 90 days, or they may require a standby agreement from the giver if not.
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
Common questions about Inherited funds
- What documentation is required to verify equity injection from a newly inherited sum of money?
- Can I use inherited money that is currently in a trust to fund my equity injection?
- Can I use SBA 7(a) loan funds for personal expenses?
- Who provides the actual funds for an SBA 7(a) loan?
- Who actually provides the funds for an SBA 7(a) loan?
- What are the rules for using gifted family funds as equity?
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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