Glossary · Reading the business
In short
Your best estimate of the business's financial performance after you take over. Lenders use these to gauge your ability to repay the SBA loan under your management.
You'll provide detailed future projections, typically for 1-2 years, including projected P&L statements and cash flow. These should be realistic and justifiable, demonstrating sufficient cash flow to cover debt service and your living expenses. Base them on historical earnings, your business plan, and market analysis, showing how you expect to perform.
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.
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.
Free · No documents · Usually same-day