The Small Business Administration (SBA) recently released standard operating procedure (SOP) version 50 57 4, updating the administration’s policies and procedures for 7(a) loan servicing and liquidation.

Effective Nov. 1, 2025, the SOP outlines the following changes:

• New and updated definitions.
• An increase from $5,000 to $10,000, to the personal property liquidation value threshold for certain actions.
• Updates to loan servicing and purchase center contact information.
• New Paycheck Protection Program (PPP) record retention requirements.
• Revised guidance regarding payment of the SBA lenders’ annual service fees.
• Addition of a new loan status category, “SBA Uncollectible.”
• Revisions the requirements relating to non-citizen owners of the borrower.
• Incorporation of SBA loan purchase guidance in previous SOPs.

With the new SOP going into effect next month, it’s critical for lenders to have a clear understanding of the requirements. Rely on Doeren Mayhew’s SBA pros to provide an independent SBA loan review to ensure compliance with the 7(a) lending requirements.