---
kind: "section"
citation: "13 C.F.R. § 107.800"
title: "13"
number: "107.800"
heading: "Financings in the form of Equity Securities."
url: "https://uscodex.org/cfr/13/107.800"
---

# §107.800. Financings in the form of Equity Securities.

- (a) You may purchase the Equity Securities of a Small Business. You may not, inadvertently or otherwise:
  - (1) Become a general partner in any unincorporated business; or
  - (2) **Become jointly or severally liable for any obligations of an unincorporated business.**
- (b) **Definition.** Equity Securities means stock of any class in a corporation, stock options, warrants, limited partnership interests in a limited partnership, membership interests in a limited liability company, or joint venture interests. If the Financing agreement contains debt-type acceleration provisions or includes redemption provisions, other than those permitted under [§ 107.850](/cfr/13/107.850.md), the security will be considered a Debt Security for purposes of [§ 107.855](/cfr/13/107.855.md) and [§ 107.1150(c)(1)](/cfr/13/107.1150.md?p=c-1).

## Notes

### Amendments

[61 FR 3189, Jan. 31, 1996, as amended at 74 FR 33915, July 14, 2009]

### Authority

Authority: 15 U.S.C. 662, 681-687, 687b-h, 687k-m.

### Source

Source: 61 FR 3189, Jan. 31, 1996, unless otherwise noted.

### Amendments

[61 FR 3189, Jan. 31, 1996, as amended at 74 FR 33915, July 14, 2009]