Glossary · Reading the business
In short
A measure of a business's profitability before taxes and interest, often used for real estate. For general businesses, buyers typically focus on SDE or EBITDA for valuation.
While NOI is common in real estate, for a general business acquisition, you'll primarily look at Seller's Discretionary Earnings (SDE) or EBITDA. NOI helps assess the operational profitability of any real estate included in the deal, separating property performance from overall business performance. Understand which metric the seller is using.
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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