Small Business Administration (SBA) loans are among the most valuable financing tools available to U.S. small business owners — offering longer repayment terms, lower down payments, and competitive rates compared to conventional commercial loans. But SBA loan closings are also among the most document-intensive transactions in small business finance. Properly notarizing your SBA loan package is a non-negotiable step that, if handled incorrectly or delayed, can push back your funding date by days or weeks.
Remote online notarization (RON) has become an increasingly accepted solution for SBA loan closings, allowing borrowers, guarantors, and business owners to complete the notarization requirements from any location — without traveling to a bank, attorney’s office, or notary’s location. This guide explains how SBA loan notarization works, which documents require a notary seal, and how to complete the process online without creating delays.
Which SBA Loan Documents Require Notarization?
SBA loan packages vary based on the loan program (7(a), 504, microloans, or disaster loans) and the lender’s requirements. However, the following documents most commonly require notarization:
- Real estate mortgages or deeds of trust — When real property is used as collateral for an SBA loan, the mortgage or deed of trust must be notarized before it can be recorded at the county level.
- Personal guaranties — SBA rules generally require personal guaranties from all owners holding 20% or more of the business. Many lenders require these to be notarized.
- Corporate resolutions or operating agreements — Documents authorizing the business entity to enter into the loan transaction are frequently required to be notarized or certified.
- Affidavits and certifications — Borrowers may be required to sign affidavits confirming specific facts about the business, its owners, or the intended use of loan proceeds.
- Assignment of leases or other collateral documents — When intangible business assets are pledged as collateral, the associated assignment documents may require notarization.
Always confirm the specific notarization requirements with your SBA lender and closing attorney before scheduling your session, as requirements vary by loan type and lender policy.
Is Remote Online Notarization Accepted for SBA Loan Closings?
Yes — in most cases. The SBA has not categorically prohibited remote online notarization, and many SBA-approved lenders now routinely accept RON-notarized documents in states where RON is legally authorized. The practical acceptance of RON for SBA closings depends on three factors:
- State RON law: The notary must be commissioned in a state that has enacted RON legislation and must use an approved platform.
- Lender approval: Your specific SBA lender must accept electronic notarizations. Confirm this with your loan officer before scheduling.
- County recording office: If the package includes real property documents that need to be recorded, the county recorder’s office must accept electronically notarized documents. Most recording offices in RON-enacted states now do, but policies vary.
Once you have confirmed all three of these conditions, you can use our notary for loan documents service to complete your SBA closing efficiently.
Who Needs to Be Present for SBA Loan Notarization?
Depending on the structure of your SBA loan, the following individuals may need to appear before a notary:
- The primary borrower (business owner or authorized signer)
- Co-borrowers
- Personal guarantors (typically any owner with 20%+ equity stake)
- Spouses of guarantors in community property states (some lenders require spousal consent)
With remote online notarization, each party can complete their signing session from their own location. They do not need to be in the same room, the same city, or even the same state. This is particularly useful for businesses with multiple owners located in different areas, or for spouse-guarantors who cannot attend in person due to work or travel constraints.
Common Reasons SBA Loan Notarizations Get Delayed — and How to Avoid Them
1. Incomplete Documents at the Time of Signing
The most common cause of delay is attempting to notarize documents that still have blank fields, missing dates, or unsigned sections. A notary cannot legally complete a notarial act on an incomplete instrument. Ensure every required field is filled in — including legal descriptions of collateral properties, exact loan amounts, and the correct legal names of all parties — before scheduling your session.
2. ID Issues
RON platforms require each signer to present a valid, unexpired government-issued photo ID. If any party has a recently expired license, a name that does not match the loan documents exactly, or a foreign-issued ID that the platform does not accept, the session will stall. Collect ID information from all required signers well in advance and confirm acceptance with the platform.
3. Guarantor Unavailability
In multi-owner businesses, guarantors are sometimes surprised to learn they are required to sign. Identify all required signers early in the loan process and confirm their availability before the closing date. With remote notarization, each guarantor can schedule their own session independently — eliminating the coordination challenge of getting everyone to a single physical location on the same day.
4. County Recording Office Delays
Even if the notarization is completed efficiently, recording a real estate mortgage or deed of trust at the county level takes additional time. In some counties, electronic recording (eRecording) allows near-instant submission; in others, paper recording queues can take several days. Coordinate with your closing attorney or title company on the recording timeline early.
5. Lender Review After Execution
After the closing documents are executed and notarized, your lender will review the package before authorizing funding. Build in realistic time for lender review — typically one to three business days — when planning your closing timeline.
Step-by-Step: How to Complete SBA Loan Notarization Online
- Receive and review the complete closing package from your lender or attorney. Do not sign or notarize any document until you have reviewed it fully and your attorney has approved it.
- Identify all documents requiring notarization and confirm which parties must sign each one.
- Confirm RON acceptance with your lender and the county recording office (for any real property documents).
- Collect government-issued ID information from all signers and confirm ID compliance with the platform in advance.
- Schedule or initiate on-demand notary sessions for each required signer. With 24/7 availability, sessions can be scheduled to accommodate all time zones and schedules.
- Complete each session. Each signer joins via secure video, verifies identity, signs electronically, and receives a copy of the notarized document immediately.
- Assemble the complete executed package and submit it to your lender or closing attorney for review and funding authorization.
SBA 7(a) vs. SBA 504: Do Notarization Requirements Differ?
The SBA 7(a) and 504 loan programs have different structures, and their closing document sets reflect that. SBA 504 loans involve a Certified Development Company (CDC) as an intermediary lender, which adds a layer of closing documentation. Both programs typically require notarization of real property instruments and personal guaranties, but the specific forms differ.
SBA disaster loans — for businesses affected by declared disasters — may have expedited closing processes with reduced notarization requirements, depending on the loan amount and program terms. Confirm requirements with your SBA district office or lender.
Can the Business’s Closing Attorney Handle the Notarization?
In many states, a licensed attorney can also serve as a notary. However, there are limitations and ethical considerations — particularly around a business’s own attorney notarizing documents in a transaction where they represent one of the parties. For straightforward notarization needs, using an independent notary through a RON platform is cleaner and avoids any potential conflict-of-interest questions.
According to the U.S. Small Business Administration, SBA loans are among the most important financing resources for small businesses in the United States. Ensuring the closing process is executed correctly — including proper notarization — protects the business and avoids funding delays that can have serious operational consequences.
Get Your SBA Loan Documents Notarized Without Delay
If your SBA loan closing is approaching, start the notarization process as early as your lender allows. Confirm lender and county acceptance of RON, collect signer information, and have your documents fully prepared before scheduling your session.
Our loan document notary service is available 24/7 for SBA and other commercial loan closings. A licensed notary can be connected within minutes, and your completed, sealed documents are available for download immediately after the session — keeping your closing on schedule and your funding on time. Visit RemoteNotary.com to get started today.