Partial Buyout - SBA 7a rules

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April 24, 2026

by a searcher in Chicago, IL, USA

Can SBA 7a be used for a partial/minority stake buyout? For example, could you max out the program ($5m) for a less than 50% equity stake?
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Reply by a lender
from University of Missouri in Denver, CO, USA
Yes, but sellers would be required to guarantee for at least 2 years or more if they are more than a 20% owner. A little confused on your second point
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