Glossary · Doing the deal
In short
The process of selling off assets pledged as collateral to recover funds for a defaulted loan. It's the lender's final step if your business defaults on its SBA loan.
If your business loan defaults, the lender will pursue collateral liquidation to recoup their losses. This involves selling any pledged assets, including business assets and potentially your personal assets if you provided a Personal Guarantee. Understand the liquidation value of your collateral.
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
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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