{"ok":true,"canonical_url":"https://dealroom.so/glossary/non-profit-entity","api_url":"https://dealroom.so/api/public/glossary/non-profit-entity","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":"non-profit-entity","term":"Non-profit entity","group":"People and paperwork","definition":"This is an organization operating for a collective, public, or social benefit, not for the financial gain of its members. They are generally ineligible for SBA 7(a) loans.","what_it_means":"The SBA 7(a) loan program is designed for for-profit small businesses. If the target business is structured as a non-profit entity, it will not qualify for an SBA loan, so this is an immediate deal-breaker for SBA financing.","url":"https://dealroom.so/glossary/non-profit-entity","official_sources":[{"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":"for-profit-small-business","term":"For-profit small business","url":"https://dealroom.so/glossary/for-profit-small-business"},{"slug":"ineligible-businesses-rule","term":"Ineligible businesses rule","url":"https://dealroom.so/glossary/ineligible-businesses-rule"},{"slug":"small-business-concern","term":"Small business concern","url":"https://dealroom.so/glossary/small-business-concern"}],"related_questions":[{"question":"Can a non-profit entity apply for an SBA 7(a) loan for business expansion purposes?","url":"https://dealroom.so/for-lenders/questions/can-a-non-profit-entity-apply-for-an-sba-7-a-loan-for-business-expansion-purposes"},{"question":"Can a non-profit organization with a for-profit subsidiary be eligible for a 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/can-a-non-profit-organization-with-a-for-profit-subsidiary-be-eligible-for-a-7-a-loan"},{"question":"Can a non-profit organization receive an SBA 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/can-a-non-profit-organization-receive-an-sba-7-a-loan"},{"question":"Can a non-profit organization qualify for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/can-a-non-profit-organization-qualify-for-an-sba-7-a-loan"},{"question":"Can a non-profit organization receive an SBA 7(a) loan for their activities?","url":"https://dealroom.so/sba-loans/basics/can-a-non-profit-organization-receive-an-sba-7-a-loan-for-their-activities"},{"question":"Can a non-profit organization provide a grant that counts towards my equity injection?","url":"https://dealroom.so/sba-7a/questions/can-a-non-profit-organization-provide-a-grant-that-counts-towards-my-equity-injection"}]},"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 — Non-profit entity","url":"https://dealroom.so/glossary/non-profit-entity","source_type":"DealRoom Data"}}