Can a green-card holder get an SBA loan in 2026?

Not as of March 1, 2026. Under SBA Policy Notice 5000-876441, all owners of a 7(a) or 504 borrower must be U.S. citizens or U.S. nationals. Lawful permanent residents (green-card holders), who qualified as recently as February 2026, are now ineligible to own any part of the business.

Can a non-citizen own part of a business that gets an SBA loan?

No. As of March 2026, 100% of the business's direct and indirect owners must be U.S. citizens or nationals residing in the U.S. There's no minimum-percentage exception. Even a small stake held by a non-citizen makes the whole business ineligible for an SBA 7(a) or 504 loan.

Did the SBA's citizenship rule change recently?

Yes, repeatedly. June 2025 allowed green-card holders as owners; a brief January 2026 window even allowed up to 5% foreign ownership; then effective March 1, 2026 the SBA required 100% U.S. citizens/nationals and made green-card holders ineligible. Always verify against the current SBA notice.

What if some owners are citizens and some aren't?

The business is ineligible. As of March 2026 the SBA requires every direct and indirect owner to be a U.S. citizen or national, so even one non-citizen owner disqualifies the whole business from an SBA 7(a) or 504 loan. Non-SBA financing may still be an option.

Can Non-Citizens Get an SBA Loan? (2026 Rules)

As of March 1, 2026, no. SBA loans now require 100% U.S.-citizen/national ownership, and green-card holders (eligible as recently as February) no longer qualify. Here's the 2026 rule.

As of March 1, 2026, the answer is no. SBA 7(a) and 504 loans now require that 100% of a business's owners be U.S. citizens or U.S. nationals living in the United States. Lawful permanent residents (green-card holders) who could qualify as recently as February 2026 are no longer eligible to own any part of the borrowing business.

What changed on March 1, 2026

The SBA rewrote its ownership rules in Policy Notice 5000-876441 (signed February 2026, effective March 1, 2026). To get an SBA 7(a) or 504 loan now, every direct and indirect owner of the business must be a U.S. Citizen or U.S. National whose primary residence is in the U.S. or its territories. There is no minimum-percentage exception: even a small stake held by someone who isn't a citizen or national makes the whole business ineligible.

Most articles you'll find online still say green-card holders (lawful permanent residents, or "LPRs") can get an SBA loan. As of March 1, 2026, that is no longer true, and leaning on stale guidance here can cost you weeks chasing a loan you can't get.

Wait, didn't green-card holders used to qualify?

They did, until very recently. The rule changed three times in under a year:

June 1, 2025 (SOP 50 10 8): the business and its owners had to be U.S.-organized, and all owners and guarantors needed a U.S. primary residence, but green-card holders were allowed to be owners.
January 1, 2026 (Procedural Notice 5000-872050): a brief window that even allowed up to 5% foreign ownership.
March 1, 2026 (Policy Notice 5000-876441): the SBA reversed course: 100% U.S. citizens/nationals, green-card holders ineligible, and the January 5% exception rescinded.

So a borrower who would have qualified in February 2026 may not qualify in March. That is exactly why every rule on this site carries an "as of" date.

Who counts as an "owner"?

The rule reaches further than the person whose name is on the door:

Direct and indirect owners, including the owners of any holding company or entity that owns part of the business.
The operating company and any holding / real-estate entity (what the SBA calls the OC and EPC) in a typical 7(a) or 504 structure.
Anyone the SBA requires to guarantee the loan, generally every owner of 20% or more.

Every one of them must be a U.S. citizen or national residing in the United States.

If you're not eligible, what now?

A single non-citizen, non-national owner of any percentage disqualifies the business from SBA financing. The SBA looks through to all owners, so restructuring around the rule isn't a loophole.
That doesn't mean no financing exists. Conventional (non-SBA) business loans, community and CDFI lenders, and equipment or revenue-based financing don't carry the SBA's citizenship test. Ask a lender about non-SBA options.
If your ownership genuinely meets the rule, don't let an outdated "you can't" article stop you. Confirm where you stand and move.

Double-check before you apply

SBA eligibility rules have moved fast, three changes in nine months, and this page reflects the rules as of June 2026. Before you apply, confirm the current requirements against the latest SBA notices or with your lender, and browse our other SBA loan guides for the rest of the picture. The fastest way to know whether you qualify today is to check your readiness first. It takes about a minute.