SBA 7(a) Loans up to $500k Now Available

Business Insights

SBA 7(a) Eligibility Updates – The New Minimum Requirements for an SBA 7(a) Loan

Adam Zaabel
4 Minutes to read

With the SBA’s latest SOP changes, the minimum criteria required to qualify for an SBA 7(a) loan has lowered for larger loan amounts. To qualify for an SBA loan offered through NEWITY’s portal, you must meet the following criteria: 

1. Credit Score: 650+

The business owner, or those with 20%+ ownership of the company, must have a personal credit score of at least 650, which is considered Fair by Experian. During the application process, NEWITY will check your credit score without impacting your credit. 

2. SBSS Score: 155+

SBSS stands for “Small Business Scoring Service.” This value is determined by your business’ credit standing. NEWITY can also check this score during the application without impacting your business’ credit. 

3. Years in Business: At least 12 months

For owners with high credit scores (700+ FICO), you only need 12 months of operating history to be eligible. For owners with good credit scores (670+ FICO), you will need at least two years in business. For owners with fair credit scores (650+ FICO), you will need at least three years in business to qualify.  

4. Revenue: At least $50,000 on average, annually

Businesses must have at least $50,000 in average annual revenue to qualify for an SBA 7(a) working capital loan. Your loan size will vary based upon the amount of your revenue. Generally speaking, higher revenue amounts translate into higher loan amounts. 

5. Location & Operation: In the United States

The business must be located and operated within the United States to be eligible for an SBA loan. 

6. SBA Eligibility: Size & Industry

Businesses must meet the SBA’s basic eligibility criteria, which includes confirming your business is small in size and is not one of the ineligible businesses. If you received a Paycheck Protection Program (“PPP”) loan, it is likely that you meet these criteria. 

To see how much you’re eligible to receive in an SBA 7(a) loan, submit our prescreen application in the NEWITY Portal. It takes less than 10 minutes and doesn’t impact your credit score.

If you don’t meet these requirements, don’t be discouraged. NEWITY offers a variety of financing options alongside its partners, all available in NEWITY’s Portal.

To qualify for an SBA 7(a) small business loan, your business must be:

  1. U.S.-based and operated
  2. Owner supported / owner funded
  3. Eligible per the SBA’s requirements

Your loan amount will determined by the business’ average annual revenue, FICO score, and years in business