{"ok":true,"canonical_url":"https://dealroom.so/glossary/government-backed-loan","api_url":"https://dealroom.so/api/public/glossary/government-backed-loan","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":"government-backed-loan","term":"Government-backed loan","group":"The loan itself","definition":"This is a loan where a government agency, like the SBA, guarantees a portion of the principal. This reduces risk for the lender, making them more willing to lend.","what_it_means":"The SBA 7(a) loan is a prime example. The SBA doesn't lend directly but guarantees up to 75-90% of the loan amount to the lender. This guarantee is crucial for small business acquisitions that might not qualify for conventional loans due to lower collateral or higher risk.","url":"https://dealroom.so/glossary/government-backed-loan","official_sources":[{"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"},{"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":"7a-loan","term":"7(a) loan","url":"https://dealroom.so/glossary/7a-loan"},{"slug":"sba-guaranty","term":"SBA guaranty","url":"https://dealroom.so/glossary/sba-guaranty"},{"slug":"lender","term":"Lender","url":"https://dealroom.so/glossary/lender"},{"slug":"collateral-requirement","term":"Collateral requirement","url":"https://dealroom.so/glossary/collateral-requirement"}],"related_questions":[{"question":"What makes an SBA 7(a) loan 'government-backed' compared to other loans?","url":"https://dealroom.so/sba-loans/basics/what-makes-an-sba-7-a-loan-government-backed-compared-to-other-loans"},{"question":"What kind of government agency is the Small Business Administration (SBA) for these loans?","url":"https://dealroom.so/sba-loans/basics/what-kind-of-government-agency-is-the-small-business-administration-sba-for-these-loans"},{"question":"Do SBA 7(a) loans come with strict government oversight that interferes with my business decisions?","url":"https://dealroom.so/sba-loans/basics/do-sba-7-a-loans-come-with-strict-government-oversight-that-interferes-with-my-business-de"},{"question":"Is it true that the U.S. government directly lends money for SBA 7(a) loans?","url":"https://dealroom.so/sba-loans/basics/is-it-true-that-the-u-s-government-directly-lends-money-for-sba-7-a-loans"},{"question":"Is an SBA 7(a) loan directly from the government?","url":"https://dealroom.so/sba-loans/basics/is-an-sba-7-a-loan-directly-from-the-government"},{"question":"What is the government's role in an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-government-s-role-in-an-sba-7-a-loan"}]},"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 — Government-backed loan","url":"https://dealroom.so/glossary/government-backed-loan","source_type":"DealRoom Data"}}