{"ok":true,"canonical_url":"https://dealroom.so/glossary/improvement","api_url":"https://dealroom.so/api/public/glossary/improvement","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":"improvement","term":"Improvement","group":"Reading the business","definition":"Enhancements made to land or buildings that increase their value or utility. Buyers care because these additions can boost efficiency or attract more customers, directly impacting future cash flow.","what_it_means":"If you're buying real estate with the business, or leasing and planning renovations, \"improvements\" refer to construction or upgrades. These costs can be included in your SBA 7(a) loan's Use of Proceeds. Make sure your budget is clear and get proper bids.","url":"https://dealroom.so/glossary/improvement","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":"fixed-asset-purchase","term":"Fixed Asset Purchase","url":"https://dealroom.so/glossary/fixed-asset-purchase"},{"slug":"purchase-of-land","term":"Purchase of Land","url":"https://dealroom.so/glossary/purchase-of-land"},{"slug":"leasehold-improvement","term":"Leasehold improvement","url":"https://dealroom.so/glossary/leasehold-improvement"},{"slug":"owner-occupied-commercial-real-estate","term":"Owner-occupied commercial real estate","url":"https://dealroom.so/glossary/owner-occupied-commercial-real-estate"}],"related_questions":[{"question":"Can I finance a significant leasehold improvement project with my SBA 7(a) acquisition loan?","url":"https://dealroom.so/sba-7a/questions/can-i-finance-a-significant-leasehold-improvement-project-with-my-sba-7-a-acquisition-loan"},{"question":"What triggers the need for an Environmental Questionnaire (SBA Form 1081) for a leasehold improvement loan?","url":"https://dealroom.so/for-lenders/questions/what-triggers-the-need-for-an-environmental-questionnaire-sba-form-1081-for-a-leasehold-im"},{"question":"Can a tenant improvement allowance from a new landlord count towards my equity injection for a leasehold acquisition?","url":"https://dealroom.so/sba-7a/questions/can-a-tenant-improvement-allowance-from-a-new-landlord-count-towards-my-equity-injection-f"},{"question":"What if the business I'm buying needs significant capital improvements after closing?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-buying-needs-significant-capital-improvements-after-closing"},{"question":"Can an SBA 7(a) loan finance property improvements on leased land or buildings?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-finance-property-improvements-on-leased-land-or-buildings"},{"question":"Can an SBA loan finance leasehold improvements for a business operating in leased premises?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-loan-finance-leasehold-improvements-for-a-business-operating-in-leased-premises"}]},"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 — Improvement","url":"https://dealroom.so/glossary/improvement","source_type":"DealRoom Data"}}