Glossary · Reading the business
In short
This assesses whether the buyer and the existing team have the skills and experience to successfully operate and grow the business. Lenders want assurance you can run the business profitably and repay the loan.
Your business plan and resume are critical for demonstrating your management capacity to the lender. Highlight relevant experience and how you plan to mitigate any skill gaps. The lender evaluates this as part of your creditworthiness and repayment capacity.
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