Glossary · Reading the business
In short
This is the process of documenting and presenting a business's financial activities and performance. It includes statements like the Profit and Loss, Balance Sheet, and Cash Flow Statement.
Accurate financial reporting is crucial for underwriting your SBA loan. Lenders rely on these reports to assess the business's profitability, assets, and liabilities. You'll need to analyze historical reports during due diligence and present projections for your acquisition.
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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