{"ok":true,"canonical_url":"https://dealroom.so/glossary/office-of-franchise-and-business-opportunity","api_url":"https://dealroom.so/api/public/glossary/office-of-franchise-and-business-opportunity","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-16","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"office-of-franchise-and-business-opportunity","term":"Office of Franchise and Business Opportunity","aka":"OFBO","group":"People and paperwork","definition":"This is the SBA department that reviews franchise agreements to determine if they meet SBA eligibility requirements for financing. If you're buying a Franchise, the OFBO's approval is essential for your 7(a) loan.","what_it_means":"If your target business is a Franchise, you must ensure it's listed on the SBA Franchise Directory or has an acceptable Franchise agreement. The OFBO ensures the agreement doesn't give the franchisor \"Negative control\" over the franchisee, which would make it ineligible for an SBA loan. Work with your lender to confirm eligibility early.","url":"https://dealroom.so/glossary/office-of-franchise-and-business-opportunity","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"},{"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":"franchise","term":"Franchise","url":"https://dealroom.so/glossary/franchise"},{"slug":"franchise-directory","term":"Franchise Directory","url":"https://dealroom.so/glossary/franchise-directory"},{"slug":"franchise-agreement","term":"Franchise agreement","url":"https://dealroom.so/glossary/franchise-agreement"},{"slug":"negative-control","term":"Negative control","url":"https://dealroom.so/glossary/negative-control"}],"related_questions":[{"question":"Does my business location, like a home office, affect 7(a) loan eligibility?","url":"https://dealroom.so/sba-loans/basics/does-my-business-location-like-a-home-office-affect-7-a-loan-eligibility"},{"question":"If I acquire a franchise, does the SBA approve the specific franchise location and its business plan?","url":"https://dealroom.so/sba-7a/questions/if-i-acquire-a-franchise-does-the-sba-approve-the-specific-franchise-location-and-its-busi"},{"question":"Can a business operating from a home-based office be eligible for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/can-a-business-operating-from-a-home-based-office-be-eligible-for-an-sba-7-a-loan"},{"question":"What if the acquired business operates from a home office; can the SBA loan finance a commercial property purchase?","url":"https://dealroom.so/sba-7a/questions/what-if-the-acquired-business-operates-from-a-home-office-can-the-sba-loan-finance-a-comme"},{"question":"Does the SBA require a blanket lien on all business assets, even minor ones like office furniture, for collateral?","url":"https://dealroom.so/sba-7a/questions/does-the-sba-require-a-blanket-lien-on-all-business-assets-even-minor-ones-like-office-fur"},{"question":"What is the process for getting a franchise approved if it's new and not yet on the SBA Franchise Directory?","url":"https://dealroom.so/sba-7a/questions/what-is-the-process-for-getting-a-franchise-approved-if-it-s-new-and-not-yet-on-the-sba-fr"}]},"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 — Office of Franchise and Business Opportunity","url":"https://dealroom.so/glossary/office-of-franchise-and-business-opportunity","source_type":"DealRoom Data"}}