Glossary · People and paperwork
In short
An agreement where the landlord agrees their claim on your business's assets located on their property is secondary to the SBA lender's claim. This is a common SBA requirement.
If you lease your business premises, your SBA lender will almost always require the landlord to sign a Landlord Subordination Agreement. This ensures that if you default, the lender can access and remove collateral from the leased space without interference from the landlord's potential claims on those assets. Secure this early.
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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