Glossary · Reading the business
In short
Debt not backed by specific collateral, like credit card debt or personal loans. For a buyer, this increases the business's or your personal liabilities without offering assets to cover it if things go wrong.
Review the seller's balance sheet carefully for unsecured debt which adds to the company's liabilities. On a personal level, your own unsecured debt will impact your debt-to-income ratio and repayment capacity, which lenders scrutinize. Minimize it pre-closing if possible.
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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