{"ok":true,"canonical_url":"https://dealroom.so/glossary/weighted-average-useful-life","api_url":"https://dealroom.so/api/public/glossary/weighted-average-useful-life","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":"weighted-average-useful-life","term":"Weighted Average Useful Life","group":"Reading the business","definition":"This is a calculation used to determine the maximum loan term for an SBA loan, based on the average useful life of the assets being financed, weighted by their cost.","what_it_means":"For a business acquisition, your lender calculates the Weighted Average Useful Life (WAUL) of all assets you're buying (equipment, inventory, goodwill, real estate). This calculation dictates the longest possible loan term, typically up to 10 years for a business-only purchase, or 25 years if significant real estate is included.","url":"https://dealroom.so/glossary/weighted-average-useful-life","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"}],"related":[{"slug":"useful-life","term":"Useful life","url":"https://dealroom.so/glossary/useful-life"},{"slug":"amortization","term":"Amortization","url":"https://dealroom.so/glossary/amortization"},{"slug":"goodwill","term":"Goodwill","url":"https://dealroom.so/glossary/goodwill"},{"slug":"term-maturity","term":"Term / maturity","url":"https://dealroom.so/glossary/term-maturity"}],"related_questions":[{"question":"Is there a typical average loan size for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/is-there-a-typical-average-loan-size-for-an-sba-7-a-loan"},{"question":"What is the average repayment term length for an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-average-repayment-term-length-for-an-sba-7-a-loan"},{"question":"What is the average timeframe for a typical SBA 7(a) loan closing after authorization?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-timeframe-for-a-typical-sba-7-a-loan-closing-after-authorization"},{"question":"What is the average interest rate range for an SBA 7(a) loan for a business acquisition?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-interest-rate-range-for-an-sba-7-a-loan-for-a-business-acquisition"},{"question":"What is the average interest rate range for an SBA 7(a) loan in the current market?","url":"https://dealroom.so/sba-7a/questions/what-is-the-average-interest-rate-range-for-an-sba-7-a-loan-in-the-current-market"},{"question":"What is the average time it takes to get an SBA 7(a) loan from application to funding?","url":"https://dealroom.so/sba-loans/basics/what-is-the-average-time-it-takes-to-get-an-sba-7-a-loan-from-application-to-funding"}]},"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 — Weighted Average Useful Life","url":"https://dealroom.so/glossary/weighted-average-useful-life","source_type":"DealRoom Data"}}