{"ok":true,"canonical_url":"https://dealroom.so/glossary/related-entities","api_url":"https://dealroom.so/api/public/glossary/related-entities","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":"related-entities","term":"Related Entities","group":"People and paperwork","definition":"These are businesses or individuals connected by common ownership, control, or family ties. The SBA scrutinizes these relationships closely to determine eligibility and size.","what_it_means":"The SBA's affiliation rules aggregate the revenue and employees of related entities to determine if a business meets size standards. You must disclose all related entities, including those owned by the seller or yourself, on Form 1919. Undisclosed relationships can jeopardize your loan approval.","url":"https://dealroom.so/glossary/related-entities","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":"undisclosed-affiliations","term":"Undisclosed Affiliations","url":"https://dealroom.so/glossary/undisclosed-affiliations"},{"slug":"affiliation","term":"Affiliation","url":"https://dealroom.so/glossary/affiliation"},{"slug":"size-standard","term":"Size standard","url":"https://dealroom.so/glossary/size-standard"},{"slug":"form-1919","term":"Form 1919","url":"https://dealroom.so/glossary/form-1919"}],"related_questions":[{"question":"What if a borrower has outstanding judgments or liens from non-federal entities?","url":"https://dealroom.so/for-lenders/questions/what-if-a-borrower-has-outstanding-judgments-or-liens-from-non-federal-entities"},{"question":"What happens if a borrower has outstanding judgments or liens from non-federal entities?","url":"https://dealroom.so/sba-7a/questions/what-happens-if-a-borrower-has-outstanding-judgments-or-liens-from-non-federal-entities"},{"question":"Why does the SBA combine the size of related businesses when checking loan eligibility?","url":"https://dealroom.so/sba-loans/basics/why-does-the-sba-combine-the-size-of-related-businesses-when-checking-loan-eligibility"},{"question":"How do shared investors in multiple entities trigger affiliation for SBA size standard calculations?","url":"https://dealroom.so/for-lenders/questions/how-do-shared-investors-in-multiple-entities-trigger-affiliation-for-sba-size-standard-cal"},{"question":"What types of business entities are generally ineligible for an SBA 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/what-types-of-business-entities-are-generally-ineligible-for-an-sba-7-a-loan"},{"question":"How does a lender prevent a guaranty denial related to undisclosed affiliations identified post-closing?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-prevent-a-guaranty-denial-related-to-undisclosed-affiliations-identified"}]},"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 — Related Entities","url":"https://dealroom.so/glossary/related-entities","source_type":"DealRoom Data"}}