{"ok":true,"canonical_url":"https://dealroom.so/glossary/minimum-cash-injection","api_url":"https://dealroom.so/api/public/glossary/minimum-cash-injection","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":"minimum-cash-injection","term":"Minimum cash injection","group":"Your money in the deal","definition":"This is the lowest amount of your own funds (or approved equity) you must contribute to the total project costs of an SBA 7(a) business acquisition. As a buyer, you care because it sets the floor for how much cash you need to bring to the table.","what_it_means":"For most SBA 7(a) business acquisitions, the minimum equity injection required is 10% of the total project costs. At least half of this (5%) must be liquid, seasoned funds from the buyer. The remaining portion can be a fully subordinated seller note or additional seasoned funds.","url":"https://dealroom.so/glossary/minimum-cash-injection","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":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"}],"related":[{"slug":"equity-injection","term":"Equity injection","url":"https://dealroom.so/glossary/equity-injection"},{"slug":"liquid-contribution","term":"Liquid contribution","url":"https://dealroom.so/glossary/liquid-contribution"},{"slug":"seasoned-funds","term":"Seasoned funds","url":"https://dealroom.so/glossary/seasoned-funds"},{"slug":"total-project-costs","term":"Total project costs","url":"https://dealroom.so/glossary/total-project-costs"}],"related_questions":[{"question":"Is there a minimum cash portion for the equity injection?","url":"https://dealroom.so/sba-7a/questions/is-there-a-minimum-cash-portion-for-the-equity-injection"},{"question":"What is the minimum cash injection required from me for a business acquisition?","url":"https://dealroom.so/sba-7a/questions/what-is-the-minimum-cash-injection-required-from-me-for-a-business-acquisition"},{"question":"What is the minimum cash injection usually required for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-minimum-cash-injection-usually-required-for-an-sba-7-a-loan"},{"question":"What is the minimum cash a buyer must personally contribute to the equity injection?","url":"https://dealroom.so/sba-7a/questions/what-is-the-minimum-cash-a-buyer-must-personally-contribute-to-the-equity-injection"},{"question":"Must my minimum equity injection for an SBA 7(a) acquisition loan be entirely cash?","url":"https://dealroom.so/sba-7a/questions/must-my-minimum-equity-injection-for-an-sba-7-a-acquisition-loan-be-entirely-cash"},{"question":"What is the absolute minimum cash injection required for an SBA 7(a) business acquisition?","url":"https://dealroom.so/sba-7a/questions/what-is-the-absolute-minimum-cash-injection-required-for-an-sba-7-a-business-acquisition"}]},"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 — Minimum cash injection","url":"https://dealroom.so/glossary/minimum-cash-injection","source_type":"DealRoom Data"}}