Sample SBA financing agreement?

September 02, 2025

by an investor from Harvard University - Harvard Business School in Cambridge, Massachusetts, United States

Hi, I'm trying to understand all of the covenants associated with an SBA 7A loan. Is anyone able to share a sample financing agreement that I could look at?

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

The majority of SBA 7A loans are documented by bank counsel. Because of that the loan documents will vary from lender to lender. Really the only uniform document is the SBA note. However, even that note is edited by legal counsel. I am happy to email you the standard note. Generally speaking the majority of SBA lenders do not include loan covenants on their SBA loans. This is because they are hard to enforce. If a lender calls a loan early due to a covenant violation but that loan was otherwise current, they put their SBA guarantee at risk as the SBA does not want a lender to put an otherwise current loan in default. The standard default covenants that could cause a loan to get called early are failure to make payments, a material change in ownership (you sell the business but do not payoff the loan), or death of a key owner / guarantor. Outside of that, so long as you stay current, the loan typically stays in place. If you have additional questions or you want the very generic blank sample note, I can get that to you. You can reach me here or directly at redacted

Reply by a lender
from University of Missouri in Denver, CO, USA

Hey Taylor, I'm not sure I can share an actual loan agreement but I'm happy to discuss covenants. Some SBA lenders utilize covenants on SBA loans the same as traditional financing. I know my Bank and many others utilize no covenants typically on any request. When that loan is finalized, the note will not be "called" unless payments stop.

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