Glossary · Reading the business
In short
This is the estimated price an asset would fetch if sold through an organized public sale over a reasonable marketing period. Lenders use it to assess the collateral value of a business's tangible assets.
For an SBA loan, lenders often require an appraisal to determine the Orderly Liquidation Value (OLV) of assets like equipment, inventory, and accounts receivable. This value is critical for collateral analysis, especially when determining if there's a collateral shortfall. A higher OLV means more secure collateral for the lender.
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.
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