[Code of Federal Regulations] [Title 25, Volume 1] [Revised as of April 1, 2005] From the U.S. Government Printing Office via GPO Access [CITE: 25CFR103.7] [Page 301] TITLE 25--INDIANS CHAPTER I--BUREAU OF INDIAN AFFAIRS, DEPARTMENT OF THE INTERIOR PART 103_LOAN GUARANTY, INSURANCE, AND INTEREST SUBSIDY--Table of Contents Subpart A_General Provisions Sec. 103.7 Must the borrower have equity in the business being financed? The borrower must be projected to have at least 20 percent equity in the business being financed, immediately after the loan is funded. If a substantial portion of the loan is for construction or renovation, the borrower's equity may be calculated based upon the reasonable estimated value of the borrower's assets after completion of the construction or renovation.