{"ok":true,"canonical_url":"https://dealroom.so/glossary/commodity-speculation","api_url":"https://dealroom.so/api/public/glossary/commodity-speculation","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":"commodity-speculation","term":"Commodity Speculation","group":"Reading the business","definition":"Buying or selling commodities with the hope of profiting from price fluctuations. Businesses primarily engaged in this activity are ineligible for SBA 7(a) loans.","what_it_means":"The SBA specifically excludes businesses engaged in speculation from 7(a) eligibility. If the business you're buying makes its money primarily by betting on commodity prices, an SBA loan won't work. This applies to businesses that actively trade commodities rather than using them in their core operations.","url":"https://dealroom.so/glossary/commodity-speculation","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"},{"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"}],"related":[{"slug":"ineligible-businesses-rule","term":"Ineligible businesses rule","url":"https://dealroom.so/glossary/ineligible-businesses-rule"},{"slug":"rare-coin-stamp-collecting","term":"Rare Coin/Stamp Collecting","url":"https://dealroom.so/glossary/rare-coin-stamp-collecting"},{"slug":"naics-code","term":"NAICS code","url":"https://dealroom.so/glossary/naics-code"},{"slug":"credit-elsewhere-test","term":"Credit elsewhere test","url":"https://dealroom.so/glossary/credit-elsewhere-test"}],"related_questions":[]},"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 — Commodity Speculation","url":"https://dealroom.so/glossary/commodity-speculation","source_type":"DealRoom Data"}}