Glossary · Reading the business
In short
A business organized to earn profits for its owners. This status is a fundamental eligibility requirement for most commercial loans, including SBA 7(a).
For an SBA 7(a) loan, the business you are acquiring must have a For-Profit Status. Non-profit organizations are generally ineligible. Verify the legal structure and articles of incorporation to confirm this status early in your eligibility screening.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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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