---
kind: "section"
citation: "13 C.F.R. § 123.507"
title: "13"
number: "123.507"
heading: "Under what circumstances will SBA consider waiving the $2 million loan limit?"
url: "https://uscodex.org/cfr/13/123.507"
---

# §123.507. Under what circumstances will SBA consider waiving the $2 million loan limit?


SBA will consider waiving the $2 million limit if you can certify to the following conditions and SBA approves of such certification based on the information supplied in your application:

- (a) **Your small business is a major source of employment.** A major source of employment is a business concern that, on or after the date of the disaster:
  - (1) Employs 10 percent or more of the work force within the commuting area of the geographically identifiable community (no larger than a county) in which the business employing the essential employee is located, provided that the commuting area does not extend more than 50 miles from such community; or
  - (2) Employs 5 percent of the work force in an industry within such commuting area and, if the small business is a non-manufacturing small business, employs no less than 50 employees in the same commuting area, or if the small business is a manufacturing small business, employs no less than 150 employees in the commuting area; or
  - (3) Employs no less than 250 employees within such commuting area;
- (b) Your small business is in imminent danger of going out of business as a result of one or more essential employees being called up to active service for a period of more than 30 consecutive days, and a loan in excess of $2 million is necessary to reopen or keep open the small business; and
- (c) Your small business has used all reasonably available funds from the small business, its affiliates, its principal owners and all available credit elsewhere (as described in [§ 123.104](/cfr/13/123.104.md)) to alleviate the small business' economic injury.

## Notes

### Amendments

[61 FR 3304, Jan. 31, 1996, as amended at 73 FR 54675, Sept. 23, 2008; 75 FR 14333, Mar. 25, 2010; 88 FR 24109, Apr. 19, 2023; 89 FR 59831, July 24, 2024]

### Source

Source: 66 FR 38530, July 25, 2001, unless otherwise noted.

### Authority

Authority: 15 U.S.C. 632, 634(b)(6), 636(b), 636(d), 657n, 9009, and U.S. Const. art. VI, cl. 10.

### Source

Source: 61 FR 3304, Jan. 31, 1996, unless otherwise noted.

### Amendments

[61 FR 3304, Jan. 31, 1996, as amended at 73 FR 54675, Sept. 23, 2008; 75 FR 14333, Mar. 25, 2010; 88 FR 24109, Apr. 19, 2023; 89 FR 59831, July 24, 2024]