{"ok":true,"canonical_url":"https://dealroom.so/glossary/business-size-standard","api_url":"https://dealroom.so/api/public/glossary/business-size-standard","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"business-size-standard","term":"Business size standard","group":"The loan itself","definition":"A limit set by the SBA that determines if a business qualifies as 'small,' typically based on average annual revenue or number of employees. Your target business must meet this standard to be eligible for an SBA 7(a) loan.","what_it_means":"The SBA assigns a specific size standard to each industry using NAICS codes. Before you commit to a deal, verify that the target business's revenue or employee count falls within the SBA's limits for its primary industry. This is a fundamental eligibility requirement for the 7(a) loan program.","url":"https://dealroom.so/glossary/business-size-standard","official_sources":[{"slug":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"},{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"naics-code","term":"NAICS code","url":"https://dealroom.so/glossary/naics-code"},{"slug":"affiliation","term":"Affiliation","url":"https://dealroom.so/glossary/affiliation"},{"slug":"small-business","term":"Small business","url":"https://dealroom.so/glossary/small-business"},{"slug":"7a-loan","term":"7(a) loan","url":"https://dealroom.so/glossary/7a-loan"}],"related_questions":[{"question":"How does the SBA define \"small business\" for size standard purposes?","url":"https://dealroom.so/for-lenders/questions/how-does-the-sba-define-small-business-for-size-standard-purposes"},{"question":"How does the SBA define 'affiliation' when determining a business's size standard?","url":"https://dealroom.so/sba-7a/questions/how-does-the-sba-define-affiliation-when-determining-a-business-s-size-standard"},{"question":"How does common management trigger affiliation for size standard purposes?","url":"https://dealroom.so/for-lenders/questions/how-does-common-management-trigger-affiliation-for-size-standard-purposes"},{"question":"What if a business exceeds the SBA size standard based on revenue but not employees?","url":"https://dealroom.so/for-lenders/questions/what-if-a-business-exceeds-the-sba-size-standard-based-on-revenue-but-not-employees"},{"question":"How does common management trigger affiliation for SBA size standard purposes?","url":"https://dealroom.so/sba-7a/questions/how-does-common-management-trigger-affiliation-for-sba-size-standard-purposes"},{"question":"How does a lender determine a business's size standard eligibility for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-determine-a-business-s-size-standard-eligibility-for-a-7-a-loan"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Business size standard","url":"https://dealroom.so/glossary/business-size-standard","source_type":"DealRoom Data"}}