{"ok":true,"canonical_url":"https://dealroom.so/glossary/refinance-existing-debt","api_url":"https://dealroom.so/api/public/glossary/refinance-existing-debt","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":"refinance-existing-debt","term":"Refinance Existing Debt","group":"The loan itself","definition":"Using a new loan to pay off one or more existing business debts. An SBA 7(a) loan can be used for this purpose, often to consolidate or extend repayment terms.","what_it_means":"When acquiring a business, you might use a 7(a) loan to pay off some of the target company's existing debt as part of the total project costs. This can simplify the capital structure and potentially improve cash flow with longer repayment terms. Ensure the debt is eligible for refinancing.","url":"https://dealroom.so/glossary/refinance-existing-debt","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":"business-debt-refinancing","term":"Business debt refinancing","url":"https://dealroom.so/glossary/business-debt-refinancing"},{"slug":"eligible-use-of-proceeds","term":"Eligible Use of Proceeds","url":"https://dealroom.so/glossary/eligible-use-of-proceeds"},{"slug":"extended-term","term":"Extended Term","url":"https://dealroom.so/glossary/extended-term"},{"slug":"total-project-costs","term":"Total project costs","url":"https://dealroom.so/glossary/total-project-costs"}],"related_questions":[{"question":"Can I use an SBA 7(a) loan to refinance existing business debt?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-refinance-existing-business-debt"},{"question":"Can an SBA 7(a) loan be used to refinance existing business debt?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-be-used-to-refinance-existing-business-debt"},{"question":"Can I use an SBA 7(a) loan to refinance my existing business debt?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-refinance-my-existing-business-debt"},{"question":"Can I use an SBA 7(a) loan to refinance existing business credit card debt?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-refinance-existing-business-credit-card-debt"},{"question":"Can I use an SBA 7(a) loan to refinance existing business debt for better terms?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-refinance-existing-business-debt-for-better-terms"},{"question":"Can a new business owner use an SBA 7(a) loan to refinance existing business debt?","url":"https://dealroom.so/sba-loans/basics/can-a-new-business-owner-use-an-sba-7-a-loan-to-refinance-existing-business-debt"}]},"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 — Refinance Existing Debt","url":"https://dealroom.so/glossary/refinance-existing-debt","source_type":"DealRoom Data"}}