Accrual Basis Accounting

recognizes revenues when earned and expenses are matched with the related revenues and/or are reported when the expense occurs, not when the cash is paid deducts expenses when incurred.

Updated on
September 8, 2022
Published on
June 20, 2018
The 7(a) Loan Program, SBA’s most common loan program, includes assistance for each business with unique needs.
SBA 504 loans are very popular for long-term, fixed rate financing of up to $5 million for major fixed assets.
The average Microloan is about $13,000. The Microloans program provides loans up to $50,000 to small businesses.
SBA Glossary

Common SBA Terms

Everything you need to know about common terms used to discuss SBA Loans.
Full and Open Competition
With respect to a contract action...
Income Statement
Shows the entity’s income and...
Accrual Basis Accounting
recognizes revenues when earned and expenses are...
Projection
An estimate of future economic or...
Principal
the owner(s) of the Applicant Entity that...
Prime Contract
A contract awarded directly...
Adjusted Net Worth
Post disaster fair market value of tangible...
Credit Score Test
Part of the home loan CET show a...
Subcontract
A contract between a prime cont...
Substantial Damage
This means uninsured or otherwise uncompensated...
Contracting
Purchasing, renting, leasing, or...
Depreciation
A non-cash operating expense that...
Contracting Officer
A person with the authority to...
Phase 2
Process to be used to determine economic injury for...
Cash-basis Accounting
records revenue when cash is...

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