{"ok":true,"canonical_url":"https://dealroom.so/glossary/exclusive-supply-contract","api_url":"https://dealroom.so/api/public/glossary/exclusive-supply-contract","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":"exclusive-supply-contract","term":"Exclusive Supply Contract","group":"Reading the business","definition":"A legal agreement where a business commits to purchasing all or a specified percentage of its supply of a certain good or service from a single supplier.","what_it_means":"Review any exclusive supply contracts during due diligence. Understand their terms, duration, and if they can be assigned to you as the new owner. A bad contract can limit your flexibility or profitability.","url":"https://dealroom.so/glossary/exclusive-supply-contract","official_sources":[],"related":[{"slug":"due-diligence","term":"Due diligence","url":"https://dealroom.so/glossary/due-diligence"},{"slug":"lease-agreement","term":"Lease agreement","url":"https://dealroom.so/glossary/lease-agreement"},{"slug":"non-compete","term":"Non-compete","url":"https://dealroom.so/glossary/non-compete"},{"slug":"nda-buyer-verification","term":"NDA","url":"https://dealroom.so/glossary/nda-buyer-verification"}],"related_questions":[{"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"},{"question":"What specific conditions trigger affiliation due to contractual relationships or franchise agreements?","url":"https://dealroom.so/for-lenders/questions/what-specific-conditions-trigger-affiliation-due-to-contractual-relationships-or-franchise"},{"question":"When does a prior contractual relationship create affiliation for 7(a) size determination?","url":"https://dealroom.so/for-lenders/questions/when-does-a-prior-contractual-relationship-create-affiliation-for-7-a-size-determination"},{"question":"When does a contractual relationship between two businesses trigger affiliation for size standard calculations?","url":"https://dealroom.so/for-lenders/questions/when-does-a-contractual-relationship-between-two-businesses-trigger-affiliation-for-size-s"},{"question":"Can I use an SBA 7(a) loan to acquire a business that relies heavily on independent contractors instead of employees?","url":"https://dealroom.so/sba-7a/questions/can-i-use-an-sba-7-a-loan-to-acquire-a-business-that-relies-heavily-on-independent-contrac"},{"question":"What if the business I'm acquiring relies heavily on government contracts for revenue?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-acquiring-relies-heavily-on-government-contracts-for-revenue"}]},"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 — Exclusive Supply Contract","url":"https://dealroom.so/glossary/exclusive-supply-contract","source_type":"DealRoom Data"}}