Glossary · Doing the deal
In short
A mortgage is a loan secured by real estate, meaning the property itself serves as collateral. Buyers care because if the business includes real estate, it will be pledged, impacting the deal's structure and your personal risk.
If the business sale includes real estate, a mortgage will be part of the financing package, often integrated into the SBA 7(a) loan. Understand the terms, especially if it's a separate loan or part of the larger 7(a) package, and how your personal assets might be involved. Ensure the real estate appraisal supports the loan amount.
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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