{"ok":true,"canonical_url":"https://dealroom.so/glossary/tangible-assets","api_url":"https://dealroom.so/api/public/glossary/tangible-assets","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":"tangible-assets","term":"Tangible Assets","group":"Reading the business","definition":"Physical assets that have a material form and can be touched, such as equipment, inventory, real estate, and vehicles. These are often used as collateral for loans.","what_it_means":"When evaluating a business, identify and appraise its tangible assets. These provide a baseline for the business's liquidation value and are key components of your loan collateral. An accurate valuation of these assets is critical for underwriting and ensuring sufficient collateral for your 7(a) loan.","url":"https://dealroom.so/glossary/tangible-assets","official_sources":[],"related":[{"slug":"collateral","term":"Collateral","url":"https://dealroom.so/glossary/collateral"},{"slug":"inventory","term":"Inventory","url":"https://dealroom.so/glossary/inventory"},{"slug":"appraisal","term":"Appraisal","url":"https://dealroom.so/glossary/appraisal"},{"slug":"intangible-asset","term":"Intangible asset","url":"https://dealroom.so/glossary/intangible-asset"}],"related_questions":[{"question":"What if the business I'm buying has limited tangible assets for collateral?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-buying-has-limited-tangible-assets-for-collateral"},{"question":"What are the typical collateral requirements if the business has very few tangible assets?","url":"https://dealroom.so/sba-7a/questions/what-are-the-typical-collateral-requirements-if-the-business-has-very-few-tangible-assets"},{"question":"Can a 7(a) loan be secured by a lien on intellectual property alone if tangible assets are minimal?","url":"https://dealroom.so/for-lenders/questions/can-a-7-a-loan-be-secured-by-a-lien-on-intellectual-property-alone-if-tangible-assets-are-"},{"question":"If the acquired business has no significant tangible assets, what types of *alternative* collateral might an SBA 7(a) lender require?","url":"https://dealroom.so/sba-7a/questions/if-the-acquired-business-has-no-significant-tangible-assets-what-types-of-alternative-coll"},{"question":"Can an SBA 7(a) loan finance goodwill as a significant portion of the acquisition, even if tangible assets are minimal?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-finance-goodwill-as-a-significant-portion-of-the-acquisition-even-if-t"},{"question":"Can an SBA 7(a) loan be used to purchase a business with a negative tangible net worth?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-be-used-to-purchase-a-business-with-a-negative-tangible-net-worth"}]},"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 — Tangible Assets","url":"https://dealroom.so/glossary/tangible-assets","source_type":"DealRoom Data"}}