{"ok":true,"canonical_url":"https://dealroom.so/glossary/consulting-agreement","api_url":"https://dealroom.so/api/public/glossary/consulting-agreement","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":"consulting-agreement","term":"Consulting agreement","aka":"Consulting contract","group":"Doing the deal","definition":"A contract for advisory or professional services provided by an individual or firm. Buyers often negotiate a consulting agreement with the seller post-closing for a transition period.","what_it_means":"A seller's consulting agreement can ensure a smooth handover, client introductions, and knowledge transfer after the sale. Clearly define the scope, duration, and compensation. This is often separate from an earnout or seller note, focusing purely on transition support.","url":"https://dealroom.so/glossary/consulting-agreement","official_sources":[],"related":[{"slug":"non-compete","term":"Non-compete","url":"https://dealroom.so/glossary/non-compete"},{"slug":"seller-note","term":"Seller note","url":"https://dealroom.so/glossary/seller-note"},{"slug":"earnout","term":"Earnout","url":"https://dealroom.so/glossary/earnout"}],"related_questions":[{"question":"Can a seller's post-closing consulting agreement influence the standby status of their seller note?","url":"https://dealroom.so/sba-7a/questions/can-a-seller-s-post-closing-consulting-agreement-influence-the-standby-status-of-their-sel"},{"question":"Can the seller's post-closing consulting agreement influence the standby status of their seller note?","url":"https://dealroom.so/sba-7a/questions/can-the-seller-s-post-closing-consulting-agreement-influence-the-standby-status-of-their-s"},{"question":"Does a seller's post-closing consulting agreement influence their standby note status with the SBA?","url":"https://dealroom.so/sba-7a/questions/does-a-seller-s-post-closing-consulting-agreement-influence-their-standby-note-status-with"},{"question":"What factors should a lender assess regarding a seller's post-closing consulting agreement in a change of ownership?","url":"https://dealroom.so/for-lenders/questions/what-factors-should-a-lender-assess-regarding-a-seller-s-post-closing-consulting-agreement"},{"question":"What specific limitations must a lender impose on a seller's post-closing consulting agreement to ensure it does not imply retained control or undue influence?","url":"https://dealroom.so/for-lenders/questions/what-specific-limitations-must-a-lender-impose-on-a-seller-s-post-closing-consulting-agree"},{"question":"How does a lender determine affiliation when a prior owner retains less than 20% equity and a consulting contract?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-determine-affiliation-when-a-prior-owner-retains-less-than-20-equity-and"}]},"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 — Consulting agreement","url":"https://dealroom.so/glossary/consulting-agreement","source_type":"DealRoom Data"}}