{"ok":true,"canonical_url":"https://dealroom.so/glossary/first-disbursement","api_url":"https://dealroom.so/api/public/glossary/first-disbursement","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":"first-disbursement","term":"First Disbursement","aka":"Loan funding","group":"The loan itself","definition":"The first disbursement is when the initial funds from your SBA loan are released, typically at closing. This marks the official funding of your acquisition.","what_it_means":"At the closing date, the loan funds are disbursed according to the Use of Proceeds section of your SBA Loan Authorization. This usually involves paying the seller, covering closing costs, and potentially funding initial working capital. Ensure all conditions precedent to disbursement are met.","url":"https://dealroom.so/glossary/first-disbursement","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":"closing-date","term":"Closing Date","url":"https://dealroom.so/glossary/closing-date"},{"slug":"use-of-proceeds","term":"Use of proceeds","url":"https://dealroom.so/glossary/use-of-proceeds"},{"slug":"sba-loan-authorization","term":"SBA Loan Authorization","url":"https://dealroom.so/glossary/sba-loan-authorization"},{"slug":"working-capital","term":"Working capital","url":"https://dealroom.so/glossary/working-capital"}],"related_questions":[{"question":"After SBA 7(a) loan approval, what's the typical timeframe for closing and disbursement?","url":"https://dealroom.so/sba-7a/questions/after-sba-7-a-loan-approval-what-s-the-typical-timeframe-for-closing-and-disbursement"},{"question":"How does a lender resolve an E-Tran error where the authorized loan amount is incorrect after approval but before disbursement?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-resolve-an-e-tran-error-where-the-authorized-loan-amount-is-incorrect-af"},{"question":"What is the first step to apply for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-first-step-to-apply-for-an-sba-7-a-loan"},{"question":"What are the SBA's requirements for obtaining a first lien position on all principal business assets?","url":"https://dealroom.so/for-lenders/questions/what-are-the-sba-s-requirements-for-obtaining-a-first-lien-position-on-all-principal-busin"},{"question":"Does the SBA always require a first lien position on all business assets for an acquisition loan?","url":"https://dealroom.so/sba-7a/questions/does-the-sba-always-require-a-first-lien-position-on-all-business-assets-for-an-acquisitio"},{"question":"What constitutes 'relevant management experience' for a first-time business buyer using an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/what-constitutes-relevant-management-experience-for-a-first-time-business-buyer-using-an-s"}]},"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 — First Disbursement","url":"https://dealroom.so/glossary/first-disbursement","source_type":"DealRoom Data"}}