Who Qualifies?

Businesses must have a net worth of less than $7.5 million and must have net profits after taxes less than $2.5 million during the past two fiscal years or meet other SBA size standards. The business must be organized as a for-profit business. Types of businesses eligible include retail, service, wholesale or manufacturing.

Non-qualifying businesses include passive income and real estate companies, developer/landlord deals, financial institutions, unregulated media and not-for-profit businesses.

Principals (owners) must be U.S. citizens or registered aliens with green card. INS verification of non-U.S. citizen status is required. Owners cannot be convicted felons currently on probation. Anyone who owns 20 percent or more of the operating company must personally guarantee the note.