{"ok":true,"canonical_url":"https://dealroom.so/glossary/full-collateralization","api_url":"https://dealroom.so/api/public/glossary/full-collateralization","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":"full-collateralization","term":"Full Collateralization","group":"The loan itself","definition":"This means the lender has enough security interests in your business and personal assets to cover the full loan amount in case of default. It protects the lender and the SBA.","what_it_means":"While the SBA 7(a) loan is not strictly required to be \"fully collateralized\" in all cases, lenders will secure all available business and personal assets up to the loan amount. This includes accounts receivable, inventory, equipment, and often a lien on your personal residence. Understand what assets are pledged and their liquidation value.","url":"https://dealroom.so/glossary/full-collateralization","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":"collateral","term":"Collateral","url":"https://dealroom.so/glossary/collateral"},{"slug":"collateral-analysis","term":"Collateral analysis","url":"https://dealroom.so/glossary/collateral-analysis"},{"slug":"lien","term":"Lien","url":"https://dealroom.so/glossary/lien"},{"slug":"security-interest","term":"Security Interest","url":"https://dealroom.so/glossary/security-interest"}],"related_questions":[{"question":"What happens if business assets are insufficient for full loan collateral?","url":"https://dealroom.so/sba-7a/questions/what-happens-if-business-assets-are-insufficient-for-full-loan-collateral"},{"question":"What is the required duration of a full standby seller note?","url":"https://dealroom.so/sba-7a/questions/what-is-the-required-duration-of-a-full-standby-seller-note"},{"question":"What are the specific conditions for an acceptable full standby agreement?","url":"https://dealroom.so/for-lenders/questions/what-are-the-specific-conditions-for-an-acceptable-full-standby-agreement"},{"question":"Can a full standby seller note accrue interest during the standby period?","url":"https://dealroom.so/for-lenders/questions/can-a-full-standby-seller-note-accrue-interest-during-the-standby-period"},{"question":"Under what conditions can a seller note on full standby be repaid early?","url":"https://dealroom.so/sba-7a/questions/under-what-conditions-can-a-seller-note-on-full-standby-be-repaid-early"},{"question":"What specific language must a seller note contain to qualify as full standby?","url":"https://dealroom.so/sba-7a/questions/what-specific-language-must-a-seller-note-contain-to-qualify-as-full-standby"}]},"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 — Full Collateralization","url":"https://dealroom.so/glossary/full-collateralization","source_type":"DealRoom Data"}}