Key Takeaways
- SBA 2026 citizenship rule bars asylees from all SBA programs
- Bankable: private revenue-based funding up to $5M, no green card
- CDFIs offer $5K-$250K with flexible immigration requirements
- Equipment financing, invoice factoring, and private lenders fill other gaps
- Most alternatives have faster decision timelines than SBA loans
The 2026 SBA citizenship rule has created a significant funding gap for the estimated 3+ million asylees and asylum seekers operating businesses in the United States. This page provides a comprehensive map of the alternatives — ranked by speed, amount, and accessibility.
Alternative 1: Bankable Revenue-Based Funding
Best for: Established businesses with $10,000+/month in revenue seeking $25,000-$5,000,000.
Timeline: 48 hours to decision, 3-5 days to deposit.
Requirements: EAD, US entity, business revenue, 6 months operating history.
No collateral required. No green card. No fixed monthly payment.
Alternative 2: CDFI Microloans
Best for: Early-stage businesses seeking $500-$250,000 at below-market rates.
Timeline: 2-6 weeks.
Requirements: Varies by CDFI; most do not require citizenship. EAD accepted.
Find CDFIs at: cdfifund.gov, ACCION Opportunity Fund, Grameen America, LiftFund.
Alternative 3: Equipment Financing
Best for: Businesses purchasing specific equipment (trucks, machinery, medical equipment).
Timeline: 3-7 days.
Requirements: EAD, US entity, equipment quote. Revenue history helps but equipment serves as collateral.
No citizenship requirement — equipment value is the primary underwriting factor.
Alternative 4: Invoice Factoring
Best for: B2B businesses with slow-paying corporate or government clients.
Timeline: 1-3 days after setup.
Requirements: Outstanding invoices from creditworthy business clients. No immigration restriction.
Cost: 1-5% of invoice value per 30 days.
Alternative 5: Private and Hard Money Lenders
Best for: Real estate-backed business loans and commercial property purchase.
Timeline: 1-3 weeks.
Requirements: Asset-based; immigration status less relevant. Higher rates than SBA.
Note: Rates and terms vary widely — work with a broker to compare.
Alternative 6: Seller Financing
Best for: Buying an existing business when SBA acquisition loans are unavailable.
Timeline: Negotiated with seller.
Requirements: Negotiated — no immigration restriction.
Structure: Seller accepts a promissory note for 30-50% of purchase price.
Frequently Asked Questions
Bankable's revenue-based funding is the most accessible large-dollar alternative for established businesses. CDFIs are best for early-stage businesses or smaller amounts.
CDFIs that receive SBA funding for their microloan programs may still be subject to SBA eligibility rules. Check with each CDFI specifically — many have their own independent funding and are not subject to SBA rules.
Yes. Invoice factoring companies do not have SBA-mandated citizenship requirements. Any business with outstanding B2B invoices can factor them.
Bankable provides up to $5M. Private lenders can go higher for real estate-backed deals. CDFIs typically max out at $250K-$500K.
Some foundations and CDFIs offer small business grants to immigrant and refugee entrepreneurs. These are typically under $25,000 and highly competitive. Search for grants at GrantWatch.com, Candid.org, and your local CDFI.
Yes. Many asylee businesses combine Bankable working capital, equipment financing for specific assets, and CDFI relationship lending simultaneously.
SBA loans had the lowest rates (prime + 2-3% for 7(a)). Bankable's revenue-based funding uses factor rates (not interest rates), which are higher cost but faster and accessible without citizenship.
Yes. If you naturalize, all SBA programs become available to you. Until then, Bankable and the other alternatives remain your primary options.