# 13 C.F.R. § 121.105 (2026): How does SBA define “business concern or concern”?

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T13_P121_S121_105

## Section

- **Citation:** 13 C.F.R. § 121.105 (2026)
- **Heading:** How does SBA define “business concern or concern”?
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 13 CFR: Business Credit and Assistance / Chapter I: SMALL BUSINESS ADMINISTRATION / Part 121: SMALL BUSINESS SIZE REGULATIONS / Subpart A: Size Eligibility Provisions and Standards / § 121.105: § 121.105   How does SBA define “business concern or concern”?

## Text

(a)(1) Except for small agricultural cooperatives, a business concern eligible for assistance from SBA as a small business is a business entity organized for profit, with a place of business located in the United States, and which operates primarily within the United States or which makes a significant contribution to the U.S. economy through payment of taxes or use of American products, materials or labor.
(2) A small agricultural cooperative is an association (corporate or otherwise) acting pursuant to the provisions of the Agricultural Marketing Act (12 U.S.C.A. 1141j) whose size does not exceed the size standard established by SBA for other similar agricultural small business concerns. A small agricultural cooperative's member shareholders are not considered to be affiliates of the cooperative by virtue of their membership in the cooperative. However, a business concern or cooperative that does not qualify as small under this part may not be a member of a small agricultural cooperative.
(b) A business concern may be in the legal form of an individual proprietorship, partnership, limited liability company, corporation, joint venture, association, trust or cooperative, except that where the form is a joint venture there can be no more than 49 percent participation by foreign business entities in the joint venture.
(c) A firm will not be treated as a separate business concern if a substantial portion of its assets and/or liabilities are the same as those of a predecessor entity. In such a case, the annual receipts and employees of the predecessor will be taken into account in determining size.
[61 FR 3286, Jan. 31, 1996, as amended at 70 FR 51248, Aug. 30, 2005]

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T13_P121_S121_105. Check the current official text before relying on it. Not legal advice.
