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§123.6 What does SBA look for when considering a disaster loan applicant?
There must be reasonable assurance that you can repay your loan based on SBA's analysis of your credit or your personal or business cash flow, and you must also have satisfactory character. SBA will not make a loan to you if repayment depends upon the sale of collateral through foreclosure or any other disposition of assets owned by you. SBA is prohibited by statute from making a loan to you if you are engaged in the production or distribution of any product or service that has been determined to be obscene by a court.
[61 FR 3304, Jan. 31, 1996, as amended at 79 FR 22862, Apr. 25, 2014]