Glossary · Reading the business
Supply chain
In short
The entire network of businesses and activities involved in getting a product or service from raw materials to the end customer. As a buyer, you need to understand its reliability and potential vulnerabilities.
What it means in a deal
Map out the business's supply chain during due diligence, from sourcing raw materials to delivery. Look for single points of failure, geopolitical risks, and inventory management practices. A robust, diversified supply chain reduces operational risk and ensures consistent product availability after you take over.
Related terms
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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