The SBA’s revised Standard Operating Procedure, SOP 50 10 8.1, took effect on October 1, 2026. It brings changes to underwriting, personal financial statements, guaranties and documentation for 504 Loans. Here’s a quick summary of what changed and how NEDCO can help Nebraska lenders and business owners keep projects moving.
When Does SOP 50 10 8.1 Apply?
According to the SBA’s information notice, the revised SOP applies to 7(a) and 504 applications that receive an SBA loan number on or after October 1, 2026. Projects already in the pipeline may fall under the new rules depending on timing, so it’s worth checking in with your 504 team early.
Key Underwriting Changes for 504 Loans
The biggest change for many projects is the minimum debt service coverage ratio (DSCR), which increased from 1.1 to 1.15 for regular 504 Loans. The analysis must also include debt service coverage on lines of credit.
Other underwriting updates include:
- Justification is required if the Lender’s maturity and amortization may exceed the SBA 504 Loan terms
- Lenders must share their credit memo with the SBA for projects of $5 million or more
New Personal Financial Statement Rules
Two changes affect the personal financial statement (PFS). The PFS must now be dated within 90 days of 504 Loan approval. Non-owner spouses are no longer required to sign it.
Updated Guaranty Requirements for Trusts
Trusts owning an aggregate of 20% or more of an applicant must guaranty the 504 Loan, along with the Trustor.
What Financial Documentation Is Required?
Applicants must provide tax returns, plus audited, reviewed or CPA-compiled financial statements if they are available.
Energy Project Cap Eliminated
The SBA eliminated the $16.5 million cap on Energy Projects, opening the door for larger projects that improve energy efficiency or use renewable energy.
How NEDCO Helps Nebraska Lenders Navigate SBA Changes
SBA rules change regularly, and keeping up with every revision takes time. Nebraska’s lending community can rely on NEDCO and our team of local experts to stay informed about how these changes affect you and your borrowers. We work alongside lenders to structure 504 projects that meet current SBA requirements from the start.
Learn more about how the SBA 504 Loan program works, or contact your Nebraska 504 Team at NEDCO with questions about a project you’re working on.