Glossary · People and paperwork
In short
A restrictive clause limits one party's actions within a contract. In your loan documents or lease, it could limit your business operations or your ability to sell assets.
Pay close attention to restrictive clauses in your lease agreement or loan documents. They might prohibit certain business activities, require lender approval for capital expenditures, or restrict your ability to take on additional debt. Understanding these limitations is crucial for future operational flexibility and growth.
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.
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