Glossary · Reading the business
Readily marketable security
In short
An investment, like a stock or bond, that can be easily and quickly bought or sold on a public exchange for cash. The SBA considers these valuable for collateral or personal liquidity.
What it means in a deal
If you have a brokerage account, readily marketable securities can serve as collateral for your SBA loan, especially if the business lacks sufficient tangible assets. Lenders will typically value them at a discount to their market price. They also count towards your personal liquidity for your equity injection.
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 Readily marketable security
- What criteria justify a lender waiving a lien on readily marketable personal assets from a guarantor?
- When can a lender waive the requirement for a lien on readily marketable personal assets of a guarantor?
- Can personal marketable securities (stocks/bonds) be used as collateral if business assets are insufficient?
- Can pledged marketable securities, like stocks, serve as additional collateral for an SBA 7(a) loan?
- How does the SBA require lenders to perfect security interests on accounts receivable and inventory?
- How does a lender perfect a security interest in intellectual property for a 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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