Who Can Apply for an SBA Loan?

Before becoming eligible for an SBA loan, first you must have been turned down for a conventional loan. Most small businesses that meet this requirement are eligible for SBA loans, although some types

Type of Business
The requirements in this category are quite broad. The business must be a for-profit enterprise. It must engage in or must propose to do business in the United States or its possessions. The business owner or loan applicant must have a reasonable financial investment in the business. And the owner must invest other financial resources, including personal assets, before applying for an SBA loan.

Size of Business
The Small Business Act defines an eligible small business as one that is independently owned and operated — and not dominant in its industry. The Act also states that the definition of small business varies from one industry to another. However, most businesses qualify as "small" under the SBA size guidelines.