Glossary · People and paperwork
Commercial lease agreement
In short
A legally binding contract between a business tenant and a landlord for the rental of commercial property. This agreement is a key asset for the business and must be reviewed carefully during acquisition.
What it means in a deal
When buying a business that leases its space, you'll need to assume or renegotiate the Commercial Lease Agreement. The SBA requires a review of the lease terms, including duration and any transfer clauses. Ensure the lease term extends beyond your loan maturity.
Related terms
Common questions about Commercial lease agreement
- Does a shared commercial lease agreement between two separate businesses trigger affiliation for SBA size standards?
- Can a substantial pre-paid rent deposit on a commercial lease count towards the equity injection for a business acquisition?
- What happens if the business's current lease agreement for its premises is short-term or expiring soon?
- Can a buyer contribute a pre-paid lease agreement for the business premises as part of their equity injection?
- If the business property is leased, can the SBA loan finance a security deposit for the lease?
- If the business property is leased, can an SBA 7(a) loan finance security deposits for the lease?
Defined by CapBench 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.
Know what you'll need before you apply
Tell us about the deal and who's buying — we'll flag the guaranty, eligibility, and paperwork issues that slow SBA approval before they cost you time.
Free · No documents · Usually same-day
Backed by data on 1,000+ SBA lenders and 300,000+ funded deals. Your details go only to lending partners you ask to be matched with — never sold to advertisers.