Glossary · People and paperwork
SBA Franchise Team
In short
This is the specialized team within the SBA that reviews franchise agreements to determine if a franchise is eligible for an SBA 7(a) loan.
What it means in a deal
If you're buying a franchise, the SBA Franchise Team will review the franchise agreement to ensure it meets SBA requirements, primarily that the franchisee has sufficient control over the business. Your lender will submit the agreement to them, or check the Franchise Directory for pre-approved brands.
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 Franchise Team
- When does a shared management team between two entities trigger affiliation for SBA size standards?
- How does the SBA assess my post-acquisition management team's experience if it includes new hires?
- What specific due diligence must a lender perform to evaluate the borrower's proposed management team's experience for a startup?
- If I acquire a franchise, does the SBA approve the specific franchise location?
- What if a franchise agreement is not listed on the SBA Franchise Directory?
- What due diligence is required for a franchise not on the SBA Franchise Directory?
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.
Know what you'll need before you apply
Tell us about the deal and who's buying — we'll flag the guaranty, eligibility, and paperwork issues that slow SBA approval before they cost you time.
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