SBA Now Requires Date of Birth for Business Owners in E-Tran

Overview#

The SBA has issued Procedural Notice 5000-866498, establishing a new requirement for lenders and CDCs to collect and submit date of birth information for all business owners through the E-Tran system.

The New Requirement#

Effective March 27, 2025, SBA Lenders and Certified Development Companies (CDCs) must enter the date of birth for all owners of an applicant business when submitting applications through E-Tran.

What This Means#

• All Owners: Date of birth required for every owner listed on the application
• E-Tran Entry: Information must be entered in the E-Tran system
• Both Programs: Applies to 7(a) loans and CDC/504 loans

Who This Affects#

• SBA Lenders: Must collect DOB from all business owners
• CDCs: Must collect DOB for 504 loan applications
• Business Owners: Must provide date of birth as part of application

Why This Change?#

The SBA has implemented this requirement to:

• Standardize demographic data collection across all SBA loan applications
• Improve identity verification capabilities
• Enhance program compliance and monitoring

What Applicants Should Know#

If you're applying for an SBA 7(a) or 504 loan:

1. Be Prepared: Have date of birth ready for all business owners (20%+ ownership)
2. All Partners: Each owner listed on the application needs to provide this information
3. Standard Practice: This is now a standard field in the application process

Effective Date#

This requirement became effective March 27, 2025.

Official Source#

Review the complete procedural notice on the SBA website.