$27 · Instant download · Verified vs SOP 50 10 8
What in your structure will kill this deal
Enter six numbers. This runs twelve checks a lender runs on your structure, tells you which ones you fail, what rule each one trips, and what to change before you apply.
These are the fixable ones: every check here covers something a borrower can still change before applying, which is the whole point of running it early. A collateral shortfall, for instance, is flagged but is explicitly not a decline under the SOP, so the tool says so rather than scaring you. Others, like a seller note that is not on full standby, quietly void your entire equity injection and are worth catching now.
Built to answer in under a minute. Six inputs at most, already filled in with typical numbers for your industry, and the verdict sits at the top in plain words. The supporting math is underneath if you want to check it, and you never have to open it if you do not.
What it computes
- ✓ Whether your injection clears the 10% floor once the disqualified sources are stripped out
- ✓ Whether your seller note survives the full-standby test and the half-of-injection cap
- ✓ Coverage against both the 1.15 SBA floor (loans over $350k) and the 1.25 lenders want
- ✓ Collateral shortfall, and the honest note that it does not decline a loan by itself
- ✓ Price as a multiple of cash flow, and whether the deal is goodwill-heavy enough to rule out a 504
- ✓ Whether the project exceeds the $5M single-program cap, and how the 2026 stacking rule applies
1. Choose your industry
2. Get it
Get the scan, $27Excel file, instant download after checkout. Formulas open so you can see and defend every number.
Need more than this one answer? The full Will the SBA Fund This Deal kit is $67 right now, normally $97, and includes all of these plus the five-year projections and the lender-ready package. Three separate tools already cost more than that, so if you are weighing three or more, start there instead.
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The free calculators cover the individual pieces: payment, down payment, and guaranty fee. There is no free version of this one. The individual calculators each test one thing, and it is the combination that turns loans down.
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What lenders check before you apply, in order.
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Frequently Asked Questions
Why do SBA loans get declined?
Most often for structure the borrower could have fixed: an equity injection below the 10% floor, a seller note that is not on full standby, or coverage under the SBA floor (1.15 on a loan over $350k).
What is the most common SBA loan structuring mistake?
A seller note that is not on full standby. The entire note then contributes nothing to the equity injection, and borrowers usually find out in underwriting.
Does a collateral shortfall stop an SBA loan?
No. It triggers a lien on the personal real estate of any owner of 20% or more, but the SOP does not permit a decline for thin collateral alone.
Written by Thomas Hartwell, author of the FUNDED series of industry-specific SBA lending guides.