Glossary · Reading the business
In short
This is the lender's evaluation of the business's ability to operate successfully and generate enough cash flow to repay the loan. It's key to whether your deal gets funded.
Before approving your loan, the lender conducts a Viability Assessment to determine if the business is fundamentally sound and can succeed post-acquisition. This goes beyond just historical financials, looking at market conditions, your management plan, and projections. Your business plan must clearly demonstrate future viability.
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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