Glossary · Reading the business
In short
This is money owed by an individual, not the business, such as mortgages, car loans, or credit card balances. It impacts your personal financial statement and global cash flow.
Lenders review your personal debt as part of your overall creditworthiness and repayment capacity for the SBA loan. High personal debt can affect your ability to qualify and may limit your equity injection options, so manage it carefully.
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
SBA Form 1919 — Borrower Information Form
U.S. Small Business Administration · SBA form
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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