{"ok":true,"canonical_url":"https://dealroom.so/glossary/lease-term","api_url":"https://dealroom.so/api/public/glossary/lease-term","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":"lease-term","term":"Lease Term","group":"Reading the business","definition":"The duration of a lease agreement, specifying how long the tenant has the right to occupy the property. This is crucial for businesses operating from a leased location.","what_it_means":"For an SBA 7(a) loan, the lease term for the business's operating location must typically match or exceed the loan's maturity. You'll need to secure a new lease or an assignment of the existing lease with a sufficient term. A short lease term could be a deal-breaker if you can't negotiate an extension with the landlord.","url":"https://dealroom.so/glossary/lease-term","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"}],"related":[{"slug":"lease-agreement","term":"Lease agreement","url":"https://dealroom.so/glossary/lease-agreement"},{"slug":"maturity","term":"Maturity","url":"https://dealroom.so/glossary/maturity"},{"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 an SBA 7(a) loan finance tenant improvements on leased property if the lease term matches the loan term?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-finance-tenant-improvements-on-leased-property-if-the-lease-term-match"},{"question":"If I am buying a business that leases its property, can I get a longer loan term if the lease is long-term?","url":"https://dealroom.so/sba-7a/questions/if-i-am-buying-a-business-that-leases-its-property-can-i-get-a-longer-loan-term-if-the-lea"},{"question":"What happens if the business's current lease agreement for its premises is short-term or expiring soon?","url":"https://dealroom.so/sba-7a/questions/what-happens-if-the-business-s-current-lease-agreement-for-its-premises-is-short-term-or-e"},{"question":"Does a shared commercial lease agreement between two separate businesses trigger affiliation for SBA size standards?","url":"https://dealroom.so/for-lenders/questions/does-a-shared-commercial-lease-agreement-between-two-separate-businesses-trigger-affiliati"},{"question":"If the business property is leased, can the SBA loan finance a security deposit for the lease?","url":"https://dealroom.so/sba-7a/questions/if-the-business-property-is-leased-can-the-sba-loan-finance-a-security-deposit-for-the-lea"},{"question":"When can a lender approve a short-term deferment or modification of a 7(a) loan's payment terms without prior SBA consent?","url":"https://dealroom.so/for-lenders/questions/when-can-a-lender-approve-a-short-term-deferment-or-modification-of-a-7-a-loan-s-payment-t"}]},"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 — Lease Term","url":"https://dealroom.so/glossary/lease-term","source_type":"DealRoom Data"}}