{"ok":true,"canonical_url":"https://dealroom.so/glossary/training-cost","api_url":"https://dealroom.so/api/public/glossary/training-cost","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":"training-cost","term":"Training cost","group":"Reading the business","definition":"Expenses incurred to educate or develop employees' skills. Buyers care because these costs affect profitability but can also indicate investment in human capital and future growth.","what_it_means":"Training costs, found on the P&L, are sometimes a discretionary expense that can be adjusted. If the seller has been underinvesting, you might face significant training needs post-acquisition, which will impact your early cash flow. Factor this into your projections and working capital needs.","url":"https://dealroom.so/glossary/training-cost","official_sources":[],"related":[{"slug":"expense","term":"Expense","url":"https://dealroom.so/glossary/expense"},{"slug":"p-l","term":"P&L","url":"https://dealroom.so/glossary/p-l"},{"slug":"working-capital","term":"Working capital","url":"https://dealroom.so/glossary/working-capital"},{"slug":"cash-flow-projection","term":"Cash flow projection","url":"https://dealroom.so/glossary/cash-flow-projection"}],"related_questions":[{"question":"Can an SBA 7(a) loan be used to hire new staff and cover their initial training costs?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-be-used-to-hire-new-staff-and-cover-their-initial-training-costs"},{"question":"Can an SBA 7(a) loan include funds for employee training or transition costs after a business acquisition?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-include-funds-for-employee-training-or-transition-costs-after-a-busine"},{"question":"Can I use an SBA 7(a) loan to finance employee training or transition costs after buying a business?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-to-finance-employee-training-or-transition-costs-after-buying-a-"},{"question":"Can closing costs such as legal and accounting fees be included in the total project cost for the 10% calculation?","url":"https://dealroom.so/sba-7a/questions/can-closing-costs-such-as-legal-and-accounting-fees-be-included-in-the-total-project-cost-"},{"question":"Are there any specific training or experience requirements for the business owner?","url":"https://dealroom.so/sba-loans/basics/are-there-any-specific-training-or-experience-requirements-for-the-business-owner"},{"question":"Does the SBA 7(a) loan program allow for seller training period financing?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-7-a-loan-program-allow-for-seller-training-period-financing"}]},"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 — Training cost","url":"https://dealroom.so/glossary/training-cost","source_type":"DealRoom Data"}}