{"ok":true,"canonical_url":"https://dealroom.so/glossary/industry-average","api_url":"https://dealroom.so/api/public/glossary/industry-average","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":"industry-average","term":"Industry average","group":"Reading the business","definition":"These are typical financial ratios or performance metrics for businesses within a specific industry. They provide a benchmark to compare the target business against its peers.","what_it_means":"Use industry averages during due diligence to spot red flags or opportunities. If the target business deviates significantly from the average in key areas like gross margin or operating expenses, dig deeper to understand why. This helps validate the business's health.","url":"https://dealroom.so/glossary/industry-average","official_sources":[],"related":[{"slug":"business-valuation","term":"Business valuation","url":"https://dealroom.so/glossary/business-valuation"},{"slug":"market-analysis","term":"Market analysis","url":"https://dealroom.so/glossary/market-analysis"},{"slug":"financial-projections","term":"Financial projections","url":"https://dealroom.so/glossary/financial-projections"},{"slug":"ebitda","term":"EBITDA","url":"https://dealroom.so/glossary/ebitda"}],"related_questions":[{"question":"Is there a typical average loan size for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/is-there-a-typical-average-loan-size-for-an-sba-7-a-loan"},{"question":"What is the average repayment term length for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-average-repayment-term-length-for-an-sba-7-a-loan"},{"question":"What is the average timeframe for a typical SBA 7(a) loan closing after authorization?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-timeframe-for-a-typical-sba-7-a-loan-closing-after-authorization"},{"question":"What is the average interest rate range for an SBA 7(a) loan for a business acquisition?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-interest-rate-range-for-an-sba-7-a-loan-for-a-business-acquisition"},{"question":"What is the average interest rate range for an SBA 7(a) loan in the current market?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-interest-rate-range-for-an-sba-7-a-loan-in-the-current-market"},{"question":"What is the average time it takes to get an SBA 7(a) loan from application to funding?","url":"https://dealroom.so/sba-loans/basics/what-is-the-average-time-it-takes-to-get-an-sba-7-a-loan-from-application-to-funding"}]},"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 — Industry average","url":"https://dealroom.so/glossary/industry-average","source_type":"DealRoom Data"}}