{"ok":true,"canonical_url":"https://dealroom.so/glossary/subcontractor","api_url":"https://dealroom.so/api/public/glossary/subcontractor","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":"subcontractor","term":"Subcontractor","group":"People and paperwork","definition":"A person or company hired by a primary contractor to perform a specific part of a larger project. They are not direct employees of the main business.","what_it_means":"When analyzing a business that heavily relies on subcontractors, understand the contracts and dependencies. The SBA wants to ensure the business has stable operations, and an over-reliance on a few critical subcontractors could be a risk if those relationships aren't solid or transferable.","url":"https://dealroom.so/glossary/subcontractor","official_sources":[],"related":[{"slug":"affiliation","term":"Affiliation","url":"https://dealroom.so/glossary/affiliation"},{"slug":"common-management","term":"Common management","url":"https://dealroom.so/glossary/common-management"},{"slug":"business-plan","term":"Business plan","url":"https://dealroom.so/glossary/business-plan"},{"slug":"due-diligence","term":"Due diligence","url":"https://dealroom.so/glossary/due-diligence"}],"related_questions":[]},"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 — Subcontractor","url":"https://dealroom.so/glossary/subcontractor","source_type":"DealRoom Data"}}