Glossary · Doing the deal
In short
Contingency plans or alternative arrangements built into a deal or loan agreement to address specific risks or potential failures. These protect you if certain conditions aren't met.
In complex deals, fallback provisions might address scenarios like a key supplier contract falling through, or the business not performing as projected post-acquisition. For SBA loans, this could refer to backup collateral or alternative repayment structures if the primary plan fails. Always consider what happens if things don't go as planned.
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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