{"ok":true,"canonical_url":"https://dealroom.so/glossary/small-business-set-aside-contract","api_url":"https://dealroom.so/api/public/glossary/small-business-set-aside-contract","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":"small-business-set-aside-contract","term":"Small business set-aside contract","group":"Reading the business","definition":"Government contracts reserved exclusively for small businesses, typically under specific SBA programs like 8(a) or WOSB. These contracts are a significant revenue source for many small businesses.","what_it_means":"If your target business relies heavily on set-aside contracts, you must ensure it (and you, post-acquisition) will continue to qualify as a small business under the relevant size standards. Affiliation rules are critical here. Losing this status means losing access to these contracts.","url":"https://dealroom.so/glossary/small-business-set-aside-contract","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":"affiliation","term":"Affiliation","url":"https://dealroom.so/glossary/affiliation"},{"slug":"size-standard","term":"Size standard","url":"https://dealroom.so/glossary/size-standard"},{"slug":"mentor-prot-g-agreement","term":"Mentor-protégé agreement","url":"https://dealroom.so/glossary/mentor-prot-g-agreement"},{"slug":"contract","term":"Contract","url":"https://dealroom.so/glossary/contract"}],"related_questions":[{"question":"Does the SBA set specific repayment schedules for 7(a) loans?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-set-specific-repayment-schedules-for-7-a-loans"},{"question":"How is the interest rate typically set for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/how-is-the-interest-rate-typically-set-for-an-sba-7-a-loan"},{"question":"How does a lender determine affiliation when a prior owner retains less than 20% equity and a consulting contract?","url":"https://dealroom.so/for-lenders/questions/how-does-a-lender-determine-affiliation-when-a-prior-owner-retains-less-than-20-equity-and"},{"question":"Does my business need to be set up as an LLC or Corporation for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/does-my-business-need-to-be-set-up-as-an-llc-or-corporation-for-an-sba-7-a-loan"},{"question":"Does the SBA set all the specific loan terms like interest rates and repayment?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-set-all-the-specific-loan-terms-like-interest-rates-and-repayment"},{"question":"Does the Small Business Administration (SBA) ever directly lend money to small businesses?","url":"https://dealroom.so/sba-loans/basics/does-the-small-business-administration-sba-ever-directly-lend-money-to-small-businesses"}]},"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 — Small business set-aside contract","url":"https://dealroom.so/glossary/small-business-set-aside-contract","source_type":"DealRoom Data"}}