{"ok":true,"canonical_url":"https://dealroom.so/glossary/management-structure","api_url":"https://dealroom.so/api/public/glossary/management-structure","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":"management-structure","term":"Management structure","group":"People and paperwork","definition":"The way a business organizes its leadership, roles, and reporting relationships. It defines who makes decisions and how responsibilities are distributed within the company.","what_it_means":"Understand the existing management structure of the business you're buying. Will you replace the seller as CEO, or are managers in place? Your lender will want to see a viable plan for managing the business and that key personnel will remain or be replaced effectively.","url":"https://dealroom.so/glossary/management-structure","official_sources":[],"related":[{"slug":"key-principal","term":"Key principal","url":"https://dealroom.so/glossary/key-principal"},{"slug":"business-plan","term":"Business plan","url":"https://dealroom.so/glossary/business-plan"},{"slug":"management-buyout","term":"Management buyout","url":"https://dealroom.so/glossary/management-buyout"},{"slug":"business-valuation","term":"Business valuation","url":"https://dealroom.so/glossary/business-valuation"}],"related_questions":[{"question":"If I'm buying out a partner, how is my management experience evaluated for the new structure?","url":"https://dealroom.so/sba-7a/questions/if-i-m-buying-out-a-partner-how-is-my-management-experience-evaluated-for-the-new-structur"},{"question":"How does the purchase agreement structure affect an SBA partner buyout?","url":"https://dealroom.so/sba-7a/questions/how-does-the-purchase-agreement-structure-affect-an-sba-partner-buyout"},{"question":"How does the SBA verify my business management experience?","url":"https://dealroom.so/sba-loans/basics/how-does-the-sba-verify-my-business-management-experience"},{"question":"Can I change my business structure after getting an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/can-i-change-my-business-structure-after-getting-an-sba-7-a-loan"},{"question":"Is previous business ownership or management experience required to qualify?","url":"https://dealroom.so/sba-loans/basics/is-previous-business-ownership-or-management-experience-required-to-qualify"},{"question":"How does common management trigger affiliation for size standard purposes?","url":"https://dealroom.so/for-lenders/questions/how-does-common-management-trigger-affiliation-for-size-standard-purposes"}]},"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 — Management structure","url":"https://dealroom.so/glossary/management-structure","source_type":"DealRoom Data"}}