SBA rules · SOP 50 10 8.1

Can a green card holder get an SBA loan?

No, lawful permanent residents (green card holders) are defined as Ineligible Persons and are not eligible to receive an SBA loan as business owners or borrowers.

Quoted from SBA SOP 50 10 8.1Every quote checked word for word

In detail

Citizenship and residency requirement: SBA financing is limited to businesses with 100% direct and indirect owners and SBA-required guarantors who are U.S. Citizens or U.S. Nationals residing in the United States, its territories, or possessions.
Ineligible Person definition: A Lawful Permanent Resident (LPR), whether holding permanent unconditional status or conditional status, is expressly categorized as an Ineligible Person.
Impact on business eligibility: No loan may be made if any direct or indirect owner is an Ineligible Person, and the business remains ineligible unless the individual completely divests all ownership prior to the issuance of the SBA loan number.
Limited guaranty exception: An Ineligible Person who is not an undocumented alien may only participate in an SBA loan by providing a limited or supplemental guaranty when required by the lender for approval or by SBA to support a pledge of jointly held collateral.

The source

What the SOP says

“SBA financing is limited to business Applicants with 100% direct and/or indirect owners and SBA-required guarantors, all of whom must be U.S. Citizens or U.S. Nationals who have their Principal Residence in the United States, its territories, or possessions.

SOP 50 10 8.1, Chapter 1: Primary Applicant Eligibility Requirements > Citizenship And Residency Requirements (lines 530-532)✓ Verified

“No loan may be made if any direct or indirect owner or SBA-required guarantor is an Ineligible Person.

SOP 50 10 8.1, Chapter 1: Primary Applicant Eligibility Requirements > Citizenship And Residency Requirements (lines 530-532)✓ Verified

“A Lawful Permanent Resident (LPRs) (commonly referred to as “green card holders”), including individuals with permanent (Unconditional) LPR status, and Conditional LPR status;

SOP 50 10 8.1, Appendix 3: Definitions > Indirect Export (lines 4326-4335)✓ Verified

“If a direct or indirect owner is an Ineligible Person, the business is ineligible unless the Ineligible Person completely divests their ownership prior to the date of issuance of the SBA loan number.

SOP 50 10 8.1, Chapter 1: Primary Applicant Eligibility Requirements > Direct/Indirect Owners (lines 533-537)✓ Verified

“When a limited or supplemental guaranty is required by the Lender for their approval, or by SBA to support the pledge of jointly held required collateral, an Ineligible Person (except for undocumented aliens who are in the U.S. illegally) may provide a limited guaranty.

SOP 50 10 8.1, Chapter 1: Primary Applicant Eligibility Requirements > Direct/Indirect Owners (lines 533-537)✓ Verified

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