Macro: SBA Restricts Green Card Holders from SBA Loan Program, Effective March 1, 2026

[Para 1: The Lead] The Small Business Administration (SBA) has announced that legal permanent residents, including green card holders, will be ineligible for SBA loan programs as of March 1, 2026. This policy change is part of the SBA's efforts to refine its loan eligibility criteria, following earlier tightening of ownership requirements. [Para 2-3: Supporting details & Context] The SBA previously raised the ownership requirement from 51% to 100% for U.S. citizens or lawful permanent residents. In December 2025, it allowed up to 5% non-citizen ownership but has now rescinded this, making lawful permanent residents ineligible. The decision has been met with criticism from small business advocacy groups, who argue it will limit small business growth and jobs. According to Small Business Majority CEO John Arensmeyer, immigrants are twice as likely to start a business as native-born U.S. citizens, and the restrictions will negatively impact small business creation across the country.