Glossary · People and paperwork
In short
This is a privately-owned business whose primary goal is to generate profit for its owners. It is the fundamental type of entity eligible for an SBA 7(a) loan.
To qualify for an SBA 7(a) loan, the entity you are acquiring must be a for-profit business, not a non-profit. Confirm the legal structure early in due diligence to ensure SBA eligibility and prevent wasted effort.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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.
Know what you'll need before you apply
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