SBA Form 912, Statement of Personal History
What Is SBA Form 912?
SBA Form 912, Statement of Personal History is a form used by the Small Business Administration (SBA) to determine whether the Borrower or the Borrower’s business partners have had any past criminal history. The form - otherwise referred to as the SBA criminal background check - plays a crucial part in the SBA loan application process by assisting the potential Lender and the SBA in evaluating the trustworthiness of the Borrower. The current SBA Form 912 was released by the SBA in March 2016 with all previous editions obsolete.
Borrowers are recommended to submit the statement prior to filing the other loan application paperwork in order to find if they have a chance for approval. A criminal record may not necessarily disqualify the Borrower from getting an SBA loan, but any false or incomplete information provided in the statement will cause the loan application to be denied and will lead to other penalties.
An up-to-date SBA Form 912 fillable version is available for digital filing and download below:
Aside from the statement, the loan application includes a number of other forms. The SBA Form 1919 (Borrower Information Form) requires the Borrower’s personal and financial information and their potential plans for the loan. The SBA Form 159 (Fee Disclosure Form and Compensation Agreement) is completed by those Borrowers who hired an agent to assist them in applying for the loan. The SBA Form 413 (Personal Financial Statement) provides information on the business’s creditworthiness and is a necessary part of applying for 7(a) and 504 loans.
When Is SBA Form 912 Required?
One of the requirements for all 7(a) or 504 loans programs applicants is to be a “creditworthy character”. It’s in the SBA’s and Lender’s best interest to know about the Borrower’s criminal history.
Even if a business owner has a criminal record, it is still possible to be approved for one of the loan programs. Any criminal history must be disclosed, otherwise, the loan application will be denied after running background checks.
The SBA 912 Form requires completing an additional page if the Borrower:
- Is currently subject to any criminal charges;
- Has been arrested for any criminal offense in the past six months;
- Has ever been convicted of a criminal offense.
The required information includes the date and location of the incident, the imposed fines and sentence and the official court documents connected to the case.
Who Must Complete SBA Form 912?
This form is required for most types of SBA loans, including the popular SBA 7(a) and SBA 504 loan programs. The SBA’s Standard Operating Procedures requires the following categories of Borrowers to complete the form:
- General partners
- Managing members of LLCs;
- Owners of more than 20 percent of a business
- Loan guarantors.
How to Fill out SBA Form 912?
SBA Form 912 instructions are as follows:
- The Borrower has to provide the name and address of their business at the top of the form. Boxes to the right require identifying the SBA district office, the loan amount applied for (if applicable) and the file number (if known).
- Box 1 requires the full name of the Borrower. Any previously used names should be listed in the provided lines. The box should also contain the name and address of the participating Lender (if applicable and known).
- Box 2 requires specifying the Borrower’s Social Security Number and the percentage of ownership or stock owned in the company.
- Boxes 3 and 4 require entering the Borrower’s place and date of birth. Box 5 requires citizenship information.
- Box 6 requires the Borrower’s current residential address.
- The information required in Boxes 7 through 9 is used to verify the Borrower’s criminal history or lack thereof.
- Box 10 requires the Borrower’s signature and the date of filing.
- Boxes 11 through 13 are for agency-use only.
The completed form should be submitted to the Lender for evaluation. If the Lender approves the application, they will send the form for further inspection to the SBA. The Lender will not be able to provide the loan without the SBA’s approval.