The 5 Most Impactful SBA Loan Changes (And Why They’re Actually Good News)

The SBA just made some big changes. Here’s how they affect you and why this may be the best time to apply for an SBA loan.

If you’ve been following the headlines, you’ve probably heard a lot of noise about what the SBA won’t do anymore, particularly around MCA refinancing. But there’s another side to the story.

While some lenders and brokers are treating the new SBA guidance like bad news, we’re here to tell you the opposite: These changes are a return to common-sense underwriting and if you understand how to navigate them, they unlock real opportunities for small business owners.

And with former Senator Kelly Loeffler confirmed to lead the SBA early this year, expect even more focus on accountability, pro-business reforms, and long-term growth strategies for entrepreneurs.

Let’s break down the 5 most impactful updates in the SBA’s new Procedural Notice

1. Asset Sales Are Now Eligible for SBA Financing

If you’re buying or selling a business, this is a huge shift. The SBA now allows partial changes of ownership through asset sales, not just stock purchases.

Why it matters:

• Clean transitions: Buyers can avoid assuming a seller’s business liabilities.
• Tax advantages: Buyers may depreciate purchased assets.
• Simplified closings: Asset-based deals are more straightforward.

If you’re looking to exit your business, or acquire one without taking on legal baggage—this change creates a path to do so with SBA backing.

2. Blended Term Loans Offer More Flexibility

Before, partial buyouts or partner exits were capped at 10 years, even if real estate was involved. Now, the SBA allows blended terms, adjusting based on the type of asset financed.

This means:

• Real estate portions can get 25-year terms.
• Equipment or goodwill stays at 10 years.
• Your monthly payment is lower than before.

For businesses trying to structure the most favorable terms possible, this is a game-changer.

3. No More Title Requirement on Vehicles Under $10K

Yes, it’s a small change, but one that can save a lot of time and headaches.

Previously, SBA lenders were required to file liens on small business vehicles as collateral. Now, if the vehicle is worth less than $10,000, no title grab is needed.

That means less paperwork, faster closings, and fewer hoops to jump through.

4. MCA Refinance Isn’t Dead, It’s Just Different

This one is misunderstood. The SBA didn’t ban businesses with MCA debt from getting loans, they just made it harder to use SBA loan proceeds to pay those debts off directly.

Here’s the truth:

• You can still get approved for an SBA loan if you have MCA debt.
• You can’t use the loan to refinance that debt unless certain conditions are met (e.g., proof of business benefit, financial performance).
• Alternative solution: Work with Reverse Consolidation first, then apply for SBA once stabilized.

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5. The SBA Is Making a Statement: Less Predatory Lending, More Long-Term Thinking

These changes aren’t just about technical requirements, they reflect a shift in mindset. The SBA is prioritizing responsible growth and borrower protection.

From reining in the MCA cycle to empowering business buyers, the SBA is signaling a return to structured lending, vetted underwriting, and long-term viability.

At SBAScore.com, we view this moment as a turning point, one where better-informed borrowers and partners like FastWay SBA can help clients win under the new rules.