Glossary · Doing the deal
Loan Sale Agreement
In short
This agreement details the terms under which the SBA 7(a) loan will be sold from the originating lender to a secondary market investor. While it doesn't directly impact you, it's part of the lender's process to free up capital for more loans.
What it means in a deal
You won't be a party to the Loan Sale Agreement, but your lender will execute one to sell the guaranteed portion of your SBA loan. This is standard practice and simply means your loan will be held by a different entity, though your servicing relationship typically remains with the original lender.
Related terms
Common questions about Loan Sale Agreement
- What if the seller withdraws from the sale agreement during the SBA loan underwriting process?
- What happens if a seller withdraws from the sale agreement during the SBA loan underwriting process?
- What if the business for sale uses proprietary software or a unique technology?
- How does a lender verify equity injection from the sale of a cryptocurrency portfolio?
- How does a recent personal foreclosure or short sale on my home affect SBA 7(a) loan approval?
- Can a seller-financed portion of the sale be considered part of my equity injection?
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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