Unfortunately more details have not yet come out about this program. All we know is it is supposed to provide additional working capital resources. There already is a working capital product called the CAP Line product available from the SBA. That provides working capital up to $5 million. However, it is clunky and requires a lot of monitoring and has some fees. Everyone is expecting the new line of credit product to be simpler and easier to use, but until the final details come out we will not know for sure. Few lenders offer the CAP Line product due to the amount of monitoring required. That is why most lenders just use the SBA Express line of credit, but that caps out at $500,000. As more information comes available we will certainly get it out there. Unfortunately it may be a while. They announced the changes to the SBA 7A program in early 2023 and it took most of the year for them to get it finalized, so do not expect it to be a quick answer.

Nothing but the announcement about this line of credit program ^redacted‌. The lenders have the final say based on their in-house underwriting policies regarding what types of loans and lines they're willing to provide with the SBA backing. We will wait and see. Currently, most lenders will include up to 3-6 months of working capital in the acquisition loan project based on a review of the business's short-term operating expense needs post-acquisition if the purchase is asset-based. Some, not all, lenders will also include an SBA Express line of credit to the borrower on top of the 3-6 months of w/c. The more extensive line needs greater than $500k are usually obtained through a separate asset-based line of credit provider reviewed and approved by the SBA lender funding the sale.