{"ok":true,"canonical_url":"https://dealroom.so/glossary/seasonal-business","api_url":"https://dealroom.so/api/public/glossary/seasonal-business","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":"seasonal-business","term":"Seasonal business","group":"Reading the business","definition":"A business whose revenues and expenses fluctuate significantly based on seasons or specific times of the year. This impacts cash flow and repayment capacity.","what_it_means":"Lenders will analyze historical financial statements over several years to understand the seasonality and ensure the business generates sufficient cash flow throughout the year to service the debt. You'll need to demonstrate how you'll manage cash flow during slower periods and how the business will sustain debt payments.","url":"https://dealroom.so/glossary/seasonal-business","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"}],"related":[{"slug":"cash-flow","term":"Cash flow","url":"https://dealroom.so/glossary/cash-flow"},{"slug":"profit-and-loss-statement","term":"Profit and Loss Statement","url":"https://dealroom.so/glossary/profit-and-loss-statement"},{"slug":"cash-flow-projection","term":"Cash flow projection","url":"https://dealroom.so/glossary/cash-flow-projection"},{"slug":"repayment-capacity","term":"Repayment capacity","url":"https://dealroom.so/glossary/repayment-capacity"}],"related_questions":[{"question":"How does an SBA 7(a) loan typically handle seasonal businesses for repayment capacity?","url":"https://dealroom.so/sba-7a/questions/how-does-an-sba-7-a-loan-typically-handle-seasonal-businesses-for-repayment-capacity"},{"question":"What if my business is seasonal, and revenue fluctuates throughout the year?","url":"https://dealroom.so/sba-loans/basics/what-if-my-business-is-seasonal-and-revenue-fluctuates-throughout-the-year"},{"question":"Can I use an SBA 7(a) loan to purchase a business that is seasonal?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-purchase-a-business-that-is-seasonal"},{"question":"Can seasonal fluctuations in the acquired business affect the SBA 7(a) loan approval timeline?","url":"https://dealroom.so/sba-7a/questions/can-seasonal-fluctuations-in-the-acquired-business-affect-the-sba-7-a-loan-approval-timeli"},{"question":"Can an SBA 7(a) loan be used for working capital specifically for seasonal business cycles?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-be-used-for-working-capital-specifically-for-seasonal-business-cycles"},{"question":"Can a 7(a) loan be used for business working capital to cover inventory purchases for a seasonal business?","url":"https://dealroom.so/for-lenders/questions/can-a-7-a-loan-be-used-for-business-working-capital-to-cover-inventory-purchases-for-a-sea"}]},"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 — Seasonal business","url":"https://dealroom.so/glossary/seasonal-business","source_type":"DealRoom Data"}}