Glossary · People and paperwork
SBA Form 148(Standby Agreement)
In short
This is the SBA form for the Standby Agreement. It's used when there's a seller note or other debt owed by the business to an associate or owner, requiring it to be subordinated.
What it means in a deal
If you're using a seller note as part of your equity injection, the lender will require the seller to sign an SBA Form 148. This makes the seller's debt "standby" (subordinated) to the SBA loan, meaning the SBA loan gets paid first. Understand the terms, especially if it's a "full standby" or "partial standby."
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 SBA Form 148
- What is the primary purpose of SBA Form 1919, 'Borrower Information Form'?
- When must an applicant update their SBA Form 1919, Borrower Information Form, during underwriting?
- What is the primary purpose of SBA Form 1919 (Borrower Information Form) in 7(a) loan processing?
- What is the importance of the SBA Form 1919 (Borrower Information Form) in the 7(a) loan application process?
- What is the primary purpose of SBA Form 1919 for eligibility?
- What is the purpose of collecting borrower certifications on SBA Form 1919?
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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