Guaranteed Portion [Business Credit And Assistance] Law and Legal Definition

According to 13 CFR 120.1800 [Title 13 -- Business Credit And Assistance; Chapter I -- Small Business Administration; Part 120 -- Business Loans; Subpart K -- Establishment Of An SBA Direct Loan Program For Systemically Important Secondary Market Broker-Dealers (SISMBD Loan Program)], Guaranteed Portion refers to “that portion of an SBA 7(a) loan sold in an SBA Secondary Market transaction. This guaranteed portion of a 7(a) loan once sold is certificated, carries a guarantee backed by the full faith and credit of the United States and bestows upon the Registered Holder the right to receive payments.”