{"ok":true,"canonical_url":"https://dealroom.so/glossary/certificate-of-deposit","api_url":"https://dealroom.so/api/public/glossary/certificate-of-deposit","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":"certificate-of-deposit","term":"Certificate of Deposit","group":"Your money in the deal","definition":"A CD is a savings certificate with a fixed maturity date and interest rate. It's a low-risk way to hold cash, but for an SBA loan, funds in a CD might need to be \"seasoned\" or liquidated to be considered part of your equity injection.","what_it_means":"If your equity injection funds are held in a CD, ensure you can access them by the Closing date without penalty. Lenders will verify the source and seasoning of these funds. A CD is a good option for holding funds you intend to use for your equity injection, provided it meets the Seasoned funds criteria.","url":"https://dealroom.so/glossary/certificate-of-deposit","official_sources":[{"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":"equity-injection","term":"Equity injection","url":"https://dealroom.so/glossary/equity-injection"},{"slug":"seasoned-funds","term":"Seasoned funds","url":"https://dealroom.so/glossary/seasoned-funds"},{"slug":"proof-of-funds","term":"Proof of funds","url":"https://dealroom.so/glossary/proof-of-funds"},{"slug":"out-of-pocket","term":"Out of pocket","url":"https://dealroom.so/glossary/out-of-pocket"}],"related_questions":[{"question":"Can a borrower's investment in a certificate of deposit (CD) count towards the required equity injection?","url":"https://dealroom.so/for-lenders/questions/can-a-borrower-s-investment-in-a-certificate-of-deposit-cd-count-towards-the-required-equi"},{"question":"Can I use funds from a Certificate of Deposit (CD) that matures after closing for my equity injection?","url":"https://dealroom.so/sba-7a/questions/can-i-use-funds-from-a-certificate-of-deposit-cd-that-matures-after-closing-for-my-equity-"},{"question":"Can I use an SBA 7(a) loan to finance a security deposit for a leased property as part of the acquisition?","url":"https://dealroom.so/sba-7a/questions/can-i-use-an-sba-7-a-loan-to-finance-a-security-deposit-for-a-leased-property-as-part-of-t"},{"question":"If the business property is leased, can the SBA loan finance a security deposit for the lease?","url":"https://dealroom.so/sba-7a/questions/if-the-business-property-is-leased-can-the-sba-loan-finance-a-security-deposit-for-the-lea"},{"question":"Can a substantial pre-paid rent deposit on a commercial lease count towards the equity injection for a business acquisition?","url":"https://dealroom.so/sba-7a/questions/can-a-substantial-pre-paid-rent-deposit-on-a-commercial-lease-count-towards-the-equity-inj"},{"question":"If the business property is leased, can an SBA 7(a) loan finance security deposits for the lease?","url":"https://dealroom.so/sba-loans/basics/if-the-business-property-is-leased-can-an-sba-7-a-loan-finance-security-deposits-for-the-l"}]},"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 — Certificate of Deposit","url":"https://dealroom.so/glossary/certificate-of-deposit","source_type":"DealRoom Data"}}