Glossary · Reading the business
In short
A projection of a business's future financial performance, including revenue, expenses, and profit. Buyers use this to understand potential growth and assess the viability of their investment.
Lenders often require a financial forecast, especially for acquisitions with significant changes or growth plans, to evaluate repayment capacity. As a buyer, you must scrutinize the assumptions behind it and compare it to historical performance and industry trends.
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.
Pressure-test the numbers before you make an offer
Send us the asking price and the seller's cash flow — we'll show whether the deal services SBA debt and where the add-backs are likely to hold up.
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