SBA Experience Test

The SBA experience test isnt about industry, it's about execution After thousands of files reviewed, I can tell you this with confidence underwriters are not looking for someone who’s done the exact same job before. They’re trying to answer one question: can this person actually step into the seller's shoes without breaking the business and then grow it? I recently had a call with a buyer looking at a business with, No prior ownership experience. No direct industry background. But 15 years in a senior corporate role managing people, budgets, and a multi‑million‑dollar P&L. On paper, some would immediately say, “No experience, deal’s dead.” In reality? It could absolutely get approved. Here’s what I really focused on: Can you manage people? Do you understand what the seller actually does day to day? Can you explain how your skill set replaces or supports that role? Do you have a realistic plan to stabilize and then grow the business? This is where most buyers miss the mark. The real test isn’t industry knowledge; it’s how you bridge the gap between what the seller knows and what you bring to the table. And just as importantly, how you’ll take the business forward once the transition period ends. If you don’t have direct industry experience, don’t hide it. Structure the deal smartly. Get the right people around you. Show how you’ll bridge the gap and grow