Glossary · People and paperwork
Sales agreement
In short
A legally binding contract detailing the terms and conditions of a business sale, including the purchase price, assets being transferred, and closing date. This document is central to the transaction.
What it means in a deal
The sales agreement, often an Asset Purchase Agreement (APA) for SBA loans, is the foundational document for your acquisition. Ensure it clearly defines what you are buying, any liabilities you are assuming, and all contingencies. Your legal counsel must review this thoroughly.
Related terms
Common questions about Sales agreement
- Are proceeds from personal investment sales eligible for equity injection?
- How does a lender evaluate the market value of collateral when there are limited comparable sales?
- Can I get an SBA 7(a) loan if my business is a startup with no sales yet?
- How does the SBA evaluate the eligibility of an applicant business involved in multi-level marketing or pyramid sales schemes?
- How does a lender ensure timely and accurate reporting of 7(a) loan sales on the secondary market to the SBA?
- What are the SBA's reporting requirements for 7(a) lenders regarding sales of guaranteed loan portions on the secondary market?
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.
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