# What collateral does an SBA loan require at each loan size?

**Short answer:** None at $50,000 or less on 7(a) Small and SBA Express loans. Above that, the rules depend on the program. Standard 7(a) loans of more than $350,000 must be fully secured as SBA defines it. Source: SOP 50 10 8.1, App. 19, Para. B.

Canonical page: https://www.sbaexpress.loans/answers/sba-collateral-requirements-by-loan-size/
Last checked: 2026-11-08

At $50,000 or less, most small-loan programs require no collateral. Standard 7(a) loans of more than $350,000 must be fully secured. SOP 50 10 8.1, App. 19, Para. B, sets these floors:

- **7(a) Small, $50,000 or less.** No collateral required. The lender may take some under its own policies.
- **7(a) Small, above that line up to $350,000.** A first lien on assets the loan finances. If 50% or more of proceeds are working capital, the lender also takes all fixed assets until the loan is fully secured.
- **SBA Express, $50,000 or less.** No collateral required.
- **SBA Express, above that line up to $500,000.** The General Requirements apply, but the lender may use its own collateral policies for similar non-SBA loans.
- **Standard 7(a), more than $350,000.** The loan must be fully secured. A shortfall requires available equity in personal real estate.
- **CAPLines, $50,000 or less.** No collateral required. Larger lines follow the variant rules in Para. B.5.
- **Export Express, $50,000 or less.** No collateral required. Above that, the lender's written policies apply (Para. B.6).

Two cases fall outside this list:

- **Buying a business.** Appendix 15 governs. A 7(a) Small or SBA Express loan used for a purchase must meet its fully secured definition (Sec. B, Ch. 2, Para. A.2).
- **504 loans.** The Certified Development Company usually takes a second lien on the project property, and sometimes more (13 CFR § 120.934).

These are SBA minimums. Your lender's policy can ask for more within the rules, so ask early what it will want.

## Sources

- [SOP 50 10 8.1, App. 19, Para. B (p. 408)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [SOP 50 10 8.1, Sec. B, Ch. 2, Para. A.2 (Para. A begins p. 125)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [13 CFR § 120.934](https://www.ecfr.gov/current/title-13/section-120.934)