Glossary · Reading the business
In short
These are tangible assets, like real estate, machinery, or inventory, that have a physical form and can be valued. They are often strong collateral for loans.
When buying a business, identify its hard assets as they provide substantial collateral for your SBA loan. Lenders prefer businesses with significant hard assets because they have a clear liquidation value, reducing the lender's risk. Appraisals will determine their fair market value.
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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