Glossary · Reading the business
In short
This is income a business earns from one-off events or sales not expected to repeat regularly. It's important to identify this so you don't overvalue the business based on unsustainable income.
When analyzing a target business's financials, you'll "normalize" earnings by identifying and often removing non-recurring revenue. This gives you a clearer picture of the business's true ongoing profitability and its ability to cover debt service. Don't pay for revenue that won't continue after you take over.
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