SBA Loan for Non Citizen USA with Green Card or VISA

January 20, 2024

by a searcher from Universidade do Porto in United Kingdom

Hi all

I am exploring possibilities to move to the USA to maximize my chances of buying businesses within the renewable/energy efficiency sectors.

I started to search the SBA loan eligibility for non-USA Citizens with Legal Permanent Resident status or with VISA.

It looks like there might be three challenges : . personal credit score (minimum 640) . personal guarantee. . VISA-specific purpose and for a temporary period. I wonder if there are restrictions on what I can do or not do under the VISA.

I then had some Time Thinking process with a few questions popping up…

I would be super grateful if one of the SBA loan experts in the SearchFunder network could help by sharing any insights or recommendations on the following questions:

. How can I accelerate my credit score eligibility for an SBA loan when arriving (or before arriving) in the USA to reach 640 the fastest way?

. Do you need US-based collateral as a personal guarantee or is it only an unsecured personal guarantee ?

. Do you know a VISA advisor I can reach to check the best way to prepare my VISA to allow me to be eligible for a SBA loan?

. Do you know/experienced any other challenge meeting eligibility for SBA as a Non-Citizen - new Legal Permanent Resident in the USA?

. Is there anything I can plan before arriving in the USA that can help SBA Loan eligibility?

I will most likely Partner with US Resident which might help also…

Luis

https://www.sba7a.loans/sba-7a-loans-small-business-blog/sba-loans-for-non-citizens

Reply by a lender
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA

Great questions. The biggest issue you will have, which I think you have already identified, is that without being a greencard holder or US citizen, you do not qualify for SBA financing. Just having a VISA does. not qualify you. As a non-US citizen you can participate in an SBA 7A loan, but only as a minority investor. You would need a US Citizen(s) to own 51% or more of the company and you could not own more than 49% of the company. So you would need to partner with someone in the U.S. The lender is going to rely on the U.S. partner's credit, background and assets. They will still require you to sign a personal guarantee if you own over 20% of the business, but they will not put much weight on your guarantee. You can contribute any portion of the capital to the transaction however.

If you would like to discuss further the rules, you can reach me here or directly at redacted Good luck with your move and finding the right business.

Reply by a searcher
from IESEG School of Management in Denver, CO, USA

Hi Luis, a "Legal Permanent Resident status" means that you are a green card holder. Unfortunately if you have a visa you will be considered a temporary resident in the US.
-> Following this post as I am interested to know more about foreign assets as personal guarantee for a SBA loan.

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