{"ok":true,"canonical_url":"https://dealroom.so/glossary/inventory-value","api_url":"https://dealroom.so/api/public/glossary/inventory-value","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":"inventory-value","term":"Inventory value","group":"Reading the business","definition":"The total worth of goods a business holds for sale, raw materials, or work-in-progress. It's a key asset on the balance sheet and impacts working capital.","what_it_means":"For a business acquisition, you'll need to verify the reported inventory value during due diligence, often with a physical count. Overstated inventory inflates assets and can hide operational issues. Understand how it's valued (e.g., historical cost).","url":"https://dealroom.so/glossary/inventory-value","official_sources":[],"related":[{"slug":"inventory","term":"Inventory","url":"https://dealroom.so/glossary/inventory"},{"slug":"historical-cost","term":"Historical cost","url":"https://dealroom.so/glossary/historical-cost"},{"slug":"balance-sheet","term":"Balance Sheet","url":"https://dealroom.so/glossary/balance-sheet"},{"slug":"working-capital","term":"Working capital","url":"https://dealroom.so/glossary/working-capital"}],"related_questions":[{"question":"How does a lender underwrite the value of inventory included in an SBA 7(a) business acquisition?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-underwrite-the-value-of-inventory-included-in-an-sba-7-a-business-acquis"},{"question":"How is the value of inventory I own and contribute to the acquired business counted towards equity injection?","url":"https://dealroom.so/sba-7a/questions/how-is-the-value-of-inventory-i-own-and-contribute-to-the-acquired-business-counted-toward"},{"question":"Can an SBA 7(a) loan cover inventory purchases for my business?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-cover-inventory-purchases-for-my-business"},{"question":"Can an SBA 7(a) loan fund initial inventory for a new business?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-fund-initial-inventory-for-a-new-business"},{"question":"Can an SBA 7(a) loan cover inventory purchases for an existing business?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-cover-inventory-purchases-for-an-existing-business"},{"question":"Can I use an SBA 7(a) loan for inventory, payroll, or rent?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-for-inventory-payroll-or-rent"}]},"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 — Inventory value","url":"https://dealroom.so/glossary/inventory-value","source_type":"DealRoom Data"}}