{"ok":true,"canonical_url":"https://dealroom.so/glossary/startup-acquisition","api_url":"https://dealroom.so/api/public/glossary/startup-acquisition","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":"startup-acquisition","term":"Startup Acquisition","group":"Doing the deal","definition":"This refers to buying a business that is very new, often without a long operating history or established revenue streams. It carries higher risk than buying a mature business.","what_it_means":"SBA 7(a) loans generally prefer established businesses with a track record of cash flow. While possible, a startup acquisition will face intense scrutiny on projected cash flow and your ability to manage the business, making financing harder to secure.","url":"https://dealroom.so/glossary/startup-acquisition","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":"start-up","term":"Start-up","url":"https://dealroom.so/glossary/start-up"},{"slug":"cash-flow-projection","term":"Cash flow projection","url":"https://dealroom.so/glossary/cash-flow-projection"},{"slug":"business-plan","term":"Business plan","url":"https://dealroom.so/glossary/business-plan"}],"related_questions":[{"question":"Are SBA 7(a) loans only for very small, startup businesses?","url":"https://dealroom.so/sba-loans/basics/are-sba-7-a-loans-only-for-very-small-startup-businesses"},{"question":"What if the business I'm acquiring is a startup with limited operating history?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-acquiring-is-a-startup-with-limited-operating-history"},{"question":"Are SBA 7(a) loans mainly for startup businesses, or also for existing ones?","url":"https://dealroom.so/sba-loans/basics/are-sba-7-a-loans-mainly-for-startup-businesses-or-also-for-existing-ones"},{"question":"Does an SBA 7(a) loan cover the initial franchise fee and associated startup costs?","url":"https://dealroom.so/sba-7a/questions/does-an-sba-7-a-loan-cover-the-initial-franchise-fee-and-associated-startup-costs"},{"question":"Can an SBA 7(a) loan be used to buy equipment for a new startup?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-be-used-to-buy-equipment-for-a-new-startup"},{"question":"Is it harder to get an SBA 7(a) loan for a brand new startup business?","url":"https://dealroom.so/sba-loans/basics/is-it-harder-to-get-an-sba-7-a-loan-for-a-brand-new-startup-business"}]},"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 — Startup Acquisition","url":"https://dealroom.so/glossary/startup-acquisition","source_type":"DealRoom Data"}}