{"ok":true,"canonical_url":"https://dealroom.so/glossary/loan-obligation","api_url":"https://dealroom.so/api/public/glossary/loan-obligation","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":"loan-obligation","term":"Loan obligation","group":"The loan itself","definition":"This refers to the total amount of money you are legally bound to repay, including the principal, interest, and any associated fees, over the loan's term. It's your complete debt burden.","what_it_means":"When buying a business with an SBA 7(a) loan, you're taking on a significant loan obligation. Understand the full cost of the loan, beyond just the principal, to accurately assess your business's future cash flow and repayment capacity.","url":"https://dealroom.so/glossary/loan-obligation","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":"terms-conditions-eligibility","title":"7(a) Loan Program — Terms, Conditions, and Eligibility","official_url":"https://www.sba.gov/partners/lenders/7a-loan-program/terms-conditions-eligibility","official_label":"View on SBA.gov","authority_tier":5,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/terms-conditions-eligibility"}],"related":[{"slug":"term-loan","term":"Term loan","url":"https://dealroom.so/glossary/term-loan"},{"slug":"debt-service","term":"Debt service","url":"https://dealroom.so/glossary/debt-service"},{"slug":"principal-and-interest","term":"Principal and interest","url":"https://dealroom.so/glossary/principal-and-interest"},{"slug":"repayment-capacity","term":"Repayment capacity","url":"https://dealroom.so/glossary/repayment-capacity"}],"related_questions":[{"question":"What happens to my personal guaranty obligation if I later sell the business?","url":"https://dealroom.so/sba-7a/questions/what-happens-to-my-personal-guaranty-obligation-if-i-later-sell-the-business"},{"question":"If I sell the business, does the new owner inherit the prepayment penalty obligation for the SBA loan?","url":"https://dealroom.so/sba-7a/questions/if-i-sell-the-business-does-the-new-owner-inherit-the-prepayment-penalty-obligation-for-th"},{"question":"What specific reporting obligations does a lender have to the SBA after selling the guaranteed portion of a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/what-specific-reporting-obligations-does-a-lender-have-to-the-sba-after-selling-the-guaran"},{"question":"What are a 7(a) lender's ongoing reporting obligations after selling the guaranteed portion of a loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-are-a-7-a-lender-s-ongoing-reporting-obligations-after-selling-the-guaranteed-portion"},{"question":"What are a lender's ongoing servicing obligations after selling the guaranteed portion of a 7(a) loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-are-a-lender-s-ongoing-servicing-obligations-after-selling-the-guaranteed-portion-of-"},{"question":"What ongoing servicing obligations does a 7(a) lender retain after selling the guaranteed portion of a loan on the secondary market?","url":"https://dealroom.so/for-lenders/questions/what-ongoing-servicing-obligations-does-a-7-a-lender-retain-after-selling-the-guaranteed-p"}]},"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 — Loan obligation","url":"https://dealroom.so/glossary/loan-obligation","source_type":"DealRoom Data"}}