NEW ORLEANS — Recent changes to the U.S. Small Business Administration (SBA) International Trade Loan (ITL) Program may create new financing opportunities for manufacturers, food processors, agricultural businesses, and supply chain companies across the United States.
Beginning May 1, 2026, the SBA expanded eligibility to include most manufacturing industries under the federal NAICS business classification system, even if the businesses are not directly involved in exporting products. The agency also broadened eligibility to include a wider range of food supply chain businesses, including agricultural producers, grocery wholesalers, refrigerated transportation providers, food warehousing operators, logistics companies and related supply chain sectors.
"This is one of the most meaningful SBA policy updates we've seen in recent years," said Rob Powell, Partner & Chief Marketing Officer of Cardinal Capital, a Baton Rouge-based commercial finance advisory firm. "Many manufacturers and food-related businesses have faced significant challenges from tariffs, supply chain disruptions, imported competition, and rising operating costs. The SBA has effectively recognized those challenges and expanded access to capital designed to help businesses compete and grow."
Cardinal Capital specializes in SBA lending, commercial real estate finance, business acquisitions, equipment financing, and alternative capital solutions.
Expanded Eligibility
The SBA changes are tied to two related initiatives unveiled this spring: the agency’s new “Made in America Loan Guarantee” for manufacturers and an expanded “Grocery Guarantee” program aimed at businesses operating throughout the domestic food supply chain. Both initiatives operate through the SBA’s existing International Trade Loan framework rather than through a newly created loan program.
The SBA expanded eligibility to include most manufacturing industries under the federal NAICS business classification system, even if the businesses are not directly involved in exporting products. It also broadened eligibility to include a wider range of food supply chain businesses, including agricultural producers, grocery wholesalers, refrigerated warehousing operators, logistics companies and certain transportation providers.
Under the revised guidelines, eligible borrowers may qualify for loans of up to $5 million backed by an SBA guaranty of as much as 90%, compared with the standard 75% guaranty typically associated with traditional SBA 7(a) loans. SBA officials said the higher guaranty is intended to encourage lenders to extend financing to businesses facing pressure from import competition, supply chain disruptions and rising production costs.
Loan Terms and Uses
According to SBA guidance, loan proceeds may be used for machinery purchases, facility improvements, modernization projects, warehouse expansion, supply chain diversification, working capital needs, capacity expansion and certain ownership transition or acquisition opportunities.
The loans are issued by participating private lenders and backed by SBA guarantees rather than being funded directly by the federal government.
The SBA has also waived certain loan fees for qualifying manufacturers during fiscal year 2026 as part of a broader federal initiative aimed at strengthening domestic manufacturing capacity and encouraging additional capital investment.
Powell said Cardinal Capital expects the policy to create new opportunities for commercial bankers, business owners, accountants, attorneys and economic development organizations seeking financing solutions for growth-oriented businesses.
"Our role is helping business owners and lenders understand what programs are available and how they can be used strategically," Powell said. "Many eligible companies may not realize they qualify under these new guidelines."
Cardinal Capital encourages business owners and commercial lenders to review the updated SBA guidance and evaluate whether current or planned projects may qualify.
The firm works with business owners, commercial bankers and professional advisors to identify and structure financing solutions that support growth and long-term success.
