SBA rules · SOP 50 10 8.1
Can an SBA loan finance a women-only gym?
A women-only gym is ineligible for SBA financing because businesses that restrict patronage for any reason other than capacity are not eligible, though a fitness center that merely markets to women may qualify if it permits both men and women to join and use the facility.
Quoted from SBA SOP 50 10 8.1Every quote checked word for word
In detail
- Patronage restriction: Businesses that restrict patronage for any reason other than capacity are ineligible, and SBA rules specifically cite a men's or women's only health club as an example of an ineligible business.
- Marketing to one gender: Fitness centers that market to one gender may be eligible provided they allow both men and women to join and/or use the facility.
- Required lender documentation: When financing a facility that markets to one gender, the lender must document the loan file with an affidavit signed by the applicant certifying that the business is open to both men and women, plus evidence such as appropriate bath or locker rooms or documented membership demographics.
The source
What the SOP says
“Businesses that restrict patronage for any reason other than capacity are not eligible. For example, a men’s or women’s only health club is not eligible.
“Circumstances exist in which certain businesses, like fitness centers that market to one gender, may be eligible if they permit both men and women to join and/or use the facility. SBA Lenders must document the file with the following:
“Affidavit signed by the Applicant that the business is open to both men and women; and
“Evidence that the facility is open to both men and women, such as appropriate bath/locker rooms, or documented membership demographics.
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This page quotes the SBA's Standard Operating Procedure 50 10 8.1. Lenders can ask for more than the SBA minimum. It is general information, not a loan approval or legal advice.