Financing readiness and business advisory
Your real numbers. Your strongest loan request.
We prepare your accounts, size the request to what your cash flow supports and assemble the package lenders underwrite. Then we help you choose the structure.
- A team that includes CPAs and attorneys
- Books reconciled to your filed returns
- We are not a lender. You choose the lender.
Why good businesses get smaller offers, or a not-yet.
An underwriter can only lend against what the file shows and the records support. These are common gaps in a first package, and what we do about each one.
The books are months behind
We catch up and reconcile every bank and card account, so the statements describe the business as it is now. Books rebuilt in as little as 24 hours, subject to records.
The returns do not match the books
We reconcile the books to the returns you filed and document every difference, so an underwriter can follow it line by line.
Add-backs no one can prove
We recast earnings with only the one-time and owner costs your records support, each tied to its source document. We never inflate a figure.
Personal and business spending mixed
We separate them in the ledger and document owner draws, so the business cash flow stands on its own.
No interim statements
We close the year to date and prepare a current profit and loss and balance sheet.
No debt schedule
We list every loan, lease and card with its balance, payment, rate and maturity, tied to the latest statements.
No projections
We build a cash-flow forecast with every assumption written down, so you can explain it in a lender meeting.
What your numbers can support.
The coverage arithmetic an underwriter starts with, laid out as a worksheet. Type your annual figures over the sample, then check the amount you have in mind.
How SBA measures coverage6 SBA rules, each with its source
- Minimum debt service coverage for SBA 7(a)
- 1.15SBA sets this for 7(a) loans over $350,000, on historical or projected cash flow. Global cash flow, including affiliates, must be at least 1.0.Source: SBA.gov, accessed Oct 15, 2026
- How SBA measures debt service coverage
- Cash flow (EBITDA) divided by all debt paymentsDebt payments include the new loan and all other business debt.Source: SBA.gov, accessed Oct 15, 2026
- If repayment relies on projections
- 1.15 within 2 yearsStart-ups and businesses whose past results fall short need detailed projections with supporting assumptions.Source: SBA.gov, accessed Oct 15, 2026
- Minimum debt service coverage for 7(a) small loans
- 1.10On historical or 12-month projected cash flow. It does not apply to buying a business.Source: SBA.gov, accessed Oct 15, 2026
- Minimum debt service coverage to buy a business with 7(a)
- 1.25, or 1.15 for an expansionSBA sets 1.25 for a first purchase or an owner buyout, and 1.15 when an existing business expands by buying another. Measured on the last year or the average of the last two years.Source: SBA.gov, accessed Oct 15, 2026
- Minimum debt service coverage for 504
- 1.15Measured on historical results for the last year or the average of the last two years.Source: SBA.gov, accessed Oct 15, 2026
Choose the structure before you apply.
The same cash flow supports different requests depending on the program, the term and what the money is for. We help you match the request to the structure, then prepare for that lender's review.
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SBA 7(a) loan
Used for Buying a business, real estate or equipment, working capital, and refinancing business debt.
- Largest loan
- $5 millionSource: SBA.gov, accessed Oct 15, 2026
- What it can pay for
- Real estate, working capital, refinancing, equipment, buying a businessSBA also lists furniture, fixtures, supplies and loans that mix these uses.Source: SBA.gov, accessed Oct 15, 2026
- SBA guarantee to the lender
- 85% up to $150,000, 75% aboveThis is the share of the loan SBA guarantees to your lender, not to you.Source: SBA.gov, accessed Oct 15, 2026
More SBA 7(a) loan facts7 more, each with its source
- Most SBA will guarantee for one business
- $3.75 millionSBA counts the business and its affiliates together.Source: SBA.gov, accessed Oct 15, 2026
- Longest term for real estate
- 25 yearsSBA allows extra time when the loan also pays for construction or renovation.Source: SBA.gov, accessed Oct 15, 2026
- Longest term for equipment
- 10 years, up to 15 yearsSBA allows up to 15 years when the IRS useful life of the equipment supports it.Source: SBA.gov, accessed Oct 15, 2026
- Longest term for working capital
- 10 yearsThe same limit applies to inventory and to goodwill when buying a business.Source: SBA.gov, accessed Oct 15, 2026
- Highest variable rate SBA allows
- Base rate plus 3% to 6.5%SBA sets the cap by loan size: plus 6.5% for $50,000 or less, 6% up to $250,000, 4.5% up to $350,000 and 3% above $350,000. The base rate is Prime or SBA's optional peg rate.Source: eCFR, accessed Oct 15, 2026
- Highest fixed rate SBA allows
- Prime plus 5% to 8%SBA sets the cap by loan size: plus 8% for $25,000 or less, 7% up to $50,000, 6% up to $250,000 and 5% above $250,000. You and your lender negotiate the rate within the cap.Source: Federal Register, accessed Oct 15, 2026
- Using 7(a) and 504 together
- Up to $10 million combinedSBA policy since July 4, 2026. The 7(a) loan is approved first, then the 504 loan.Source: SBA.gov, accessed Oct 15, 2026
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SBA 7(a) small loan
Used for 7(a) term loans of $350,000 or less for the same business uses as a standard 7(a) loan.
- Largest loan
- $350,000SBA counts other 7(a) loans made within 90 days toward this limit.Source: SBA.gov, accessed Oct 15, 2026
- SBA guarantee to the lender
- 85% up to $150,000, 75% aboveSource: SBA.gov, accessed Oct 15, 2026
- SBA turnaround time
- 2 to 10 business daysSBA's own review time once a lender submits the loan; it is not the time to funding.Source: SBA.gov, accessed Oct 15, 2026
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SBA Express loan
Used for Loans and lines of credit up to $500,000 where an SBA Express lender makes the credit decision.
- Largest loan
- $500,000SBA counts all of a business's SBA Express loans together toward this limit.Source: SBA.gov, accessed Oct 15, 2026
- SBA guarantee to the lender
- 50%Source: SBA.gov, accessed Oct 15, 2026
- Who decides
- The lenderSBA Express lenders approve the loan without SBA reviewing it first.Source: SBA.gov, accessed Oct 15, 2026
More SBA Express loan facts1 more, each with its source
- Longest term for a line of credit
- 10 yearsThis includes the period when the line is paid down.Source: SBA.gov, accessed Oct 15, 2026
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SBA 504 loan
Used for Buying, building or renovating real estate, or buying long-life equipment, with long-term fixed-rate financing.
- Largest SBA (CDC) portion
- $5 millionThis is the SBA-backed part of the project. The bank loan is separate.Source: SBA.gov, accessed Oct 15, 2026
- Usual financing split
- Bank 50%, CDC up to 40%, you at least 10%A Certified Development Company (CDC) provides the SBA-backed part.Source: SBA.gov, accessed Oct 15, 2026
- What it can pay for
- Buildings, land and long-life equipmentEquipment must have at least 10 years of useful life left. SBA says 504 cannot pay for working capital or inventory.Source: SBA.gov, accessed Oct 15, 2026
More SBA 504 loan facts4 more, each with its source
- Largest SBA portion for manufacturers and energy projects
- $5.5 million per projectSBA sets this higher limit for manufacturers with all production in the United States, and for projects that cut energy use by at least 10% or produce more than 15% of the energy used at the site from renewable sources.Source: SBA.gov, accessed Oct 15, 2026
- Your share of the project
- 10%, or 15% to 20% in some casesSBA sets 15% for a new business or a special purpose property, and 20% when both apply.Source: SBA.gov, accessed Oct 15, 2026
- Loan terms
- 10, 20 or 25 yearsSource: SBA.gov, accessed Oct 15, 2026
- Interest rate
- FixedSBA says the rate is pegged to an increment above the current market rate for 10-year U.S. Treasury issues.Source: SBA.gov, accessed Oct 15, 2026
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SBA CAPLines (lines of credit)
Used for Lines of credit for short-term and seasonal working capital, specific contracts, and building projects for resale.
- Largest line
- $5 millionSource: SBA.gov, accessed Oct 15, 2026
- What it can pay for
- Short-term operating needsSBA offers four types: working capital, contract, seasonal and builders lines.Source: SBA.gov, accessed Oct 15, 2026
- Longest term
- 10 yearsBuilders lines are limited to 5 years plus the time needed to finish construction.Source: SBA.gov, accessed Oct 15, 2026
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Bank term loans and lines
Used for Established businesses borrowing directly from a bank, without an SBA program.
Each lender sets its own amounts, rates, terms and criteria. Most review cash flow and coverage, collateral, time in business and the quality of the financial statements. The package is the same: current reconciled statements, returns that tie to the books, a debt schedule and projections with written assumptions.
SBA figures as SBA states them on October 15, 2026, from the sources listed at the end of this page. Rules can change, and your lender confirms what applies to your request. SOP 50 10 8.1 applies to applications SBA numbers on or after October 1, 2026. Source: SBA.gov, accessed Oct 15, 2026
What SBA lenders check15 SBA rules, each with its source
- Financial history lenders analyze
- 3 years plus a current interim statementTax returns, or balance sheets with a debt schedule and income statements.Source: SBA.gov, accessed Oct 15, 2026
- How recent business statements must be
- Dated within 120 daysCounted back from the date the lender submits the application to SBA.Source: SBA.gov, accessed Oct 15, 2026
- Levels of financial statements SBA recognizes
- Audited, reviewed, CPA compiled, tax returnsWhen a 7(a) loan pays for buying a business, SBA tells the lender to use the highest level available.Source: SBA.gov, accessed Oct 15, 2026
- Quality of earnings report
- Required for purchases of $3 million or moreApplies to first purchases and expansion purchases. The lender uses its findings to measure debt service coverage.Source: SBA.gov, accessed Oct 15, 2026
- Equity injection for a start-up
- At least 10% of total project costSBA treats a business as a start-up if it has had revenue from its intended operations for 1 year or less.Source: SBA.gov, accessed Oct 15, 2026
- Equity injection to buy a business
- At least 10%For a first purchase, SBA does not allow this to be reduced. For an owner buyout or an expansion, the lender may reduce or waive it. A seller note on full standby can cover no more than half.Source: SBA.gov, accessed Oct 15, 2026
- Fees paid to an advisor or agent
- Do not count as equitySource: SBA.gov, accessed Oct 15, 2026
- Personal guarantee
- Each owner of 20% or moreSBA requires an unlimited full guarantee. A spouse with less than 20% must also guarantee when spouses and minor children together own 20% or more.Source: SBA.gov, accessed Oct 15, 2026
- Credit elsewhere test
- RequiredThe lender must show you cannot get the credit on reasonable terms without SBA. It also looks at cash held by the business and by owners of 20% or more.Source: eCFR, accessed Oct 15, 2026
- IRS tax transcript check
- Required before the loan is paid outThe lender gets your IRS transcripts and reconciles them with your financial statements. SBA Express and Export Express follow a different process.Source: SBA.gov, accessed Oct 15, 2026
- Unfiled federal tax returns
- Not eligibleSource: SBA.gov, accessed Oct 15, 2026
- How lenders request IRS transcripts
- IRS Form 4506-C through IVESIVES is the IRS Income Verification Express Service. SBA also lets the lender use IRS Form 8821.Source: IRS.gov, accessed Oct 15, 2026
- Your approval of the IRS request
- RequiredThe IRS sends your tax records to the lender only after you approve the request.Source: IRS.gov, accessed Oct 15, 2026
- SBA Form 1919
- Borrower Information FormThe business completes it for every 7(a) loan. It covers the owners, the loan request, existing debt and past government financing.Source: SBA.gov, accessed Oct 15, 2026
- SBA Form 413
- Personal Financial StatementSBA uses it to assess repayment ability and creditworthiness. Lenders may use it or their own form, dated within 90 days, for owners of 20% or more and guarantors.Source: SBA.gov, accessed Oct 15, 2026
What we prepare, and how we advise.
Accounting work and business advice from one team, aimed at a request your records can carry.
How we advise
- Capital plan. How much to ask for, what it pays for and when you need it.
- Structure and term. The program, term and repayment that fit the purpose of the money.
- Forecast and projections. A cash-flow forecast with every assumption written down.
- Ratio review. Coverage, leverage and liquidity, and what legitimately moves each one.
- Lender meeting preparation. The questions underwriters ask, and the support for each answer.
- After funding. Covenant reporting on the schedule your loan agreement sets.
What goes in the lender package
- Financial statements. Profit and loss, balance sheet and cash flow, from reconciled books.
- Recast of earnings. Add-backs only where a document supports them.
- Debt schedule. Every loan, lease and card, tied to the latest statements.
- Books to returns. A reconciliation of the books to your filed returns.
- Interim statements. The year to date, closed and reviewed.
- Aging reports. Accounts receivable and accounts payable.
From your books to the lender you choose.
Planning a purchase, a build-out or a second location? The plan starts from your records, and every step is preparation you keep.
Scope
A scoping call about your goal, your books and any lender conversations so far. Scope and fee in writing before work starts.
Books current and reconciled
We bring the books up to date, reconcile every account and tie them to your filed returns.
Size the request
The coverage worksheet with your real figures: what your cash flow covers, with and without documented add-backs.
Choose the structure
Program, term and repayment compared against the purpose of the money, before you apply.
Assemble the package
Statements, recast, debt schedule, projections with written assumptions and aging reports, indexed for the underwriter.
Prepare for the meeting
We walk you through the questions underwriters ask and the support behind each answer.
You apply
You apply with the lender you choose; we stay available to answer the underwriter's questions.
Accuracy and disclosure.
We never inflate a figure.
Every number in your package ties to a statement, a return or a source document. If the records do not support a figure, it does not go in.
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Note 1
We are not a lender. Lenders make every credit decision.
ZOCREST does not lend or broker loans, makes no credit decisions and is not part of SBA. Our work is accounting, bookkeeping and advice from a team that includes CPAs and attorneys. You choose the lender, and each lender sets its own criteria, rates and terms.
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Note 2
Accountants paid to prepare an SBA application are agents
SBA's rules name accountants, attorneys, consultants and packagers who prepare or submit an SBA loan application for someone else as agents.
Source: eCFR, accessed Oct 15, 2026 -
Note 3
You do not need an agent
SBA says applicants do not need an agent, and lenders and agents must tell you so.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 4
SBA Form 159, Fee Disclosure and Compensation Agreement
When an agent is paid to help with an SBA loan application, you, the agent and the lender each sign this form. It names the agent and lists each service and fee.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 5
Fees SBA does not allow
No flat fee charged to every applicant, no fee that depends on the loan being approved or closed, and no charge for work the application does not need.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 6
18 U.S.C. 1014, false statements on loan applications
It is a federal crime to knowingly make a false statement, or overvalue property, to influence an FDIC-insured bank, a federal or insured state credit union, SBA in connection with the Small Business Investment Act, or other listed lenders and agencies. The maximum penalty is a $1,000,000 fine, 30 years in prison, or both.
Source: Cornell LII, accessed Oct 15, 2026
All SBA agent and fee rules8 more, each with its source
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Note 7
Financial statements prepared for the loan
Form 159 must disclose pay for financial statements prepared specifically for the loan application.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 8
Everyday accounting work
Statements your accountant prepares in the normal course of business, and not for the loan, do not go on Form 159.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 9
Hourly agent fees
SBA sets no hourly maximum, but fees must be reasonable for the work done and the hours must be recorded. Fees over $2,500 need an itemized record attached to Form 159.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 10
Percentage agent fees
SBA caps them at 3% for loans of $50,000 or less, 2% up to $1 million plus 0.25% above that, and $30,000 in total.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 11
If SBA finds a fee too high
The agent must lower the fee and refund the excess to the applicant.
Source: eCFR, accessed Oct 15, 2026 -
Note 12
No SBA endorsement or approval promises
SBA can bar an agent who implies SBA endorsement, uses the SBA seal, or tells an applicant that approval is assured.
Source: eCFR, accessed Oct 15, 2026 -
Note 13
IRS Form 8821 for an SBA loan
SBA does not let the borrower or its own tax preparer file the IRS Form 8821 used for the loan. The lender handles the IRS request.
Source: SBA.gov, accessed Oct 15, 2026 -
Note 14
False certifications on Form 159
SBA Form 159 warns that false certifications can lead to criminal prosecution under 18 U.S.C. 1001.
Source: SBA.gov, accessed Oct 15, 2026
What owners ask before they apply.
Anything else, ask on the scoping call or email support@zocrest.com.
How much can I borrow?
It depends on your cash flow and on each lender's criteria, rates and terms. The worksheet shows the coverage arithmetic underwriters start with; in a review we run it with your real, reconciled figures and the structures that fit.
Do you lend money or broker loans?
No. ZOCREST is not a lender and does not broker loans. We prepare your accounts and the package, and advise on the request and its structure. You choose the lender, and lenders make every credit decision.
A bank said not yet. Can you help?
We can review the reasons the lender gave, fix what your records allow us to fix and prepare the package for your next conversation, with that lender or another one you choose. We never inflate a figure to get there.
Do you work on SBA applications?
We prepare the financial package for SBA 7(a) and 504 applications and coordinate with the lender you choose. SBA counts accountants and consultants who are paid to prepare an SBA loan application as agents. For an SBA application, the agent's fee goes on SBA Form 159, signed by you, the agent and the lender. SBA also says you do not need an agent to apply.
Source: eCFR, accessed Oct 15, 2026 Source: SBA.gov, accessed Oct 15, 2026 Source: SBA.gov, accessed Oct 15, 2026
Can what I pay you count toward my equity injection?
No. SBA says fees paid to an advisor or agent do not count as equity, so plan the injection without them.
Do you send my IRS transcripts to the lender?
No. The lender handles the IRS request. SBA does not let the borrower or its own tax preparer file the IRS Form 8821 used for the loan, and the IRS sends your records to the lender only after you approve the request. We make sure the books reconcile to the returns the lender will see.
Source: SBA.gov, accessed Oct 15, 2026 Source: IRS.gov, accessed Oct 15, 2026
How is pricing set?
The scope and fee are agreed in writing before any work starts. For work on an SBA loan application, SBA's agent fee rules apply; they are listed under accuracy and disclosure.
Is my information safe?
Uploaded files are encrypted before they are stored, they can only be opened from our private inbox, which is protected by a password and an authenticator code, and they are deleted automatically after 30 days unless your engagement needs them longer. Prefer another route? Email support@zocrest.com and we will send a secure link.
Request a financing review.
About two minutes. An engagement lead reviews every request, and we aim to respond the same day.
ZOCREST / FINANCING REVIEW
Request received.
- Reference
- Priority
- Next
- 15-minute scoping call
An engagement lead will contact you to arrange the scoping call. Keep your reference handy.
STATUSWITH THE DESK
Sources
15 official sources, read October 15, 2026
- 7(a) loans, U.S. Small Business Administration. Accessed October 15, 2026.
- 504 loans, U.S. Small Business Administration. Accessed October 15, 2026.
- SBA lender resources: types of 7(a) loans and terms, conditions and eligibility, U.S. Small Business Administration. Accessed October 15, 2026.
- SOP 50 10 8.1, Lender and Development Company Loan Programs (effective October 1, 2026), U.S. Small Business Administration. Accessed October 15, 2026.
- Small Businesses Now Eligible for $10 Million in SBA Financing (news release 26-69, July 7, 2026), U.S. Small Business Administration. Accessed October 15, 2026.
- 13 CFR Part 103, Standards for Conducting Business with SBA, Electronic Code of Federal Regulations (eCFR). Accessed October 15, 2026.
- 13 CFR 120.101, Credit not available elsewhere, Electronic Code of Federal Regulations (eCFR). Accessed October 15, 2026.
- 13 CFR 120.214, Conditions for variable interest rates, Electronic Code of Federal Regulations (eCFR). Accessed October 15, 2026.
- Maximum Allowable 7(a) Fixed Interest Rates, 87 FR 46883 (August 1, 2022), Federal Register. Accessed October 15, 2026.
- SBA Form 159, Fee Disclosure and Compensation Agreement, U.S. Small Business Administration. Accessed October 15, 2026.
- SBA Form 1919, Borrower Information Form, U.S. Small Business Administration. Accessed October 15, 2026.
- SBA Form 413, Personal Financial Statement, U.S. Small Business Administration. Accessed October 15, 2026.
- Income Verification Express Service (IVES), Internal Revenue Service. Accessed October 15, 2026.
- Income Verification Express Service for taxpayers, Internal Revenue Service. Accessed October 15, 2026.
- 18 U.S. Code 1014, Loan and credit applications generally, Legal Information Institute, Cornell Law School. Accessed October 15, 2026.