Glossary · People and paperwork
In short
This is the SBA department that reviews franchise agreements to determine if they meet SBA eligibility requirements for financing. If you're buying a Franchise, the OFBO's approval is essential for your 7(a) loan.
If your target business is a Franchise, you must ensure it's listed on the SBA Franchise Directory or has an acceptable Franchise agreement. The OFBO ensures the agreement doesn't give the franchisor "Negative control" over the franchisee, which would make it ineligible for an SBA loan. Work with your lender to confirm eligibility early.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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.
Know what you'll need before you apply
Tell us about the deal and who's buying — we'll flag the guaranty, eligibility, and paperwork issues that slow SBA approval before they cost you time.
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