Code of Federal Regulations (alpha)

CFR /  Title 13  /  Part 120  /  Sec. 120.202 Restrictions on loans for changes in ownership.

A Borrower may not use 7(a) loan proceeds to purchase a portion of a business or a portion of another owner's interest. One or more current owners may use loan proceeds to purchase the entire interest of another current owner, or a Borrower can purchase ownership of an entire business.

Maturities; Interest Rates; Loan and Guarantee Amounts