We respectfully urge the Small Business Administration to reconsider its recent policy change under SOP 50 10 8 that eliminates eligibility for Legal Permanent Residents (LPRs) to own any interest in SBA-financed small businesses.

For decades, Legal Permanent Residents, green card holders, lawfully residing and working in the United States have been essential contributors to the American small-business economy. They pay U.S. taxes, employ American workers, invest local capital, and often operate businesses in industries facing labor shortages, ownership transitions, and succession challenges.

The new policy creates a blanket prohibition on LPR ownership, regardless of residency, tax compliance, duration of lawful status, or economic contribution. This change will unintentionally:

• Disqualify otherwise strong small businesses from SBA financing
• Disrupt succession and acquisition transactions
• Reduce access to capital in underserved communities
• Limit job creation and business continuity across the U.S.

We are not requesting expanded eligibility for foreign nationals or non-resident owners. We are asking for a narrow, reasonable restoration of eligibility for Legal Permanent Residents who:

• Reside primarily in the United States
• Are lawfully authorized to work indefinitely
• Pay U.S. federal and state taxes
• Personally guarantee SBA loans when required

Restoring SBA eligibility for LPRs aligns with the SBA’s core mission:
to support small businesses, protect American jobs, and promote economic growth.

We respectfully request that the SBA reinstate LPR eligibility under SOP 50 10 8 or adopt a clearly defined, risk-based exception that allows qualified Legal Permanent Residents to participate in SBA-financed businesses.