{"ok":true,"canonical_url":"https://dealroom.so/glossary/debt-structure","api_url":"https://dealroom.so/api/public/glossary/debt-structure","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":"debt-structure","term":"Debt Structure","group":"Reading the business","definition":"This refers to the mix of debt a business carries, including different types of loans, interest rates, and repayment terms. Buyers care because it impacts the business's financial health, cash flow, and ability to take on new debt.","what_it_means":"When acquiring a business, you'll analyze the existing debt structure to understand its obligations and how your new SBA loan will integrate. A well-structured deal might include a seller note on standby, complementing your 7(a) loan. Consider how the total debt service will affect your cash flow.","url":"https://dealroom.so/glossary/debt-structure","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":"seller-note","term":"Seller note","url":"https://dealroom.so/glossary/seller-note"},{"slug":"standby","term":"Standby","url":"https://dealroom.so/glossary/standby"},{"slug":"cash-flow","term":"Cash flow","url":"https://dealroom.so/glossary/cash-flow"},{"slug":"total-project-costs","term":"Total project costs","url":"https://dealroom.so/glossary/total-project-costs"}],"related_questions":[{"question":"How does the purchase agreement structure affect an SBA partner buyout?","url":"https://dealroom.so/sba-7a/questions/how-does-the-purchase-agreement-structure-affect-an-sba-partner-buyout"},{"question":"Can I change my business structure after getting an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/can-i-change-my-business-structure-after-getting-an-sba-7-a-loan"},{"question":"How does seller financing structure impact the required equity injection for a business acquisition?","url":"https://dealroom.so/for-lenders/questions/how-does-seller-financing-structure-impact-the-required-equity-injection-for-a-business-ac"},{"question":"Are there specific requirements for the business entity structure for an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/are-there-specific-requirements-for-the-business-entity-structure-for-an-sba-7-a-loan"},{"question":"Does my business legal structure (like LLC or Sole Proprietorship) affect SBA 7(a) loan eligibility?","url":"https://dealroom.so/sba-loans/basics/does-my-business-legal-structure-like-llc-or-sole-proprietorship-affect-sba-7-a-loan-eligi"},{"question":"Can an earn-out provision in a purchase agreement affect 7(a) loan eligibility or structure?","url":"https://dealroom.so/for-lenders/questions/can-an-earn-out-provision-in-a-purchase-agreement-affect-7-a-loan-eligibility-or-structure"}]},"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 — Debt Structure","url":"https://dealroom.so/glossary/debt-structure","source_type":"DealRoom Data"}}