Capital Leases

are for the purchase of fixed assets (machinery/equipment) and these assets are shown on the company’s balance sheet and represent a fixed debt. If the lease is a capital lease, the debt should be shown as a Note Payable.

Updated on
September 9, 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.
Standard Industrial Classification (SIC) Code
A code representing a category within...
Phase 1
Process used to determine the...
Comparative Analysis
Is designed to point out significant trends that...
Physical Loans
Funds to repair/replace dis...
Request for Proposal (RFP)
A document outlining a...
Partnership
A type of unincorporated business org...
Full and Open Competition
With respect to a contract action...
Fair and Reasonable Price
A price that is fair to both parties...
Best and Final Offer
For negotiated procurements...
Sole Proprietor
an individual who...
Cash Available to Service Additional Debt (CASAD)
The cash flow determined that...
Collateral
Assets pledged by a borrower to secure a loan...
Certified 8(a) Firm
A firm owned and operated by socially and...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Current Assets
A balance sheet item which equals...

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