Glossary · People and paperwork
In short
This clause in a loan agreement allows the lender to demand immediate repayment of the entire outstanding loan balance if certain conditions (defaults) are met. It's a critical risk to understand.
An acceleration clause is standard in nearly all loan documents, including SBA loans. It means if you default on payments, violate a covenant, or fail to meet other loan terms, the lender can call the entire loan due. Understand every condition that could trigger acceleration, as it can lead to immediate financial distress and business loss.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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