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.
Mentor
A business, usually large, or...
Phase 1
Process used to determine the...
Current Liabilities
A balance sheet item, which...
Protégé
A firm in a developmental stage that...
Income Statement
Shows the entity’s income and...
Principal
the owner(s) of the Applicant Entity that...
Amortization
A non-cash operating expense that...
Corporation (C-corp.)
The most common form of business org...
Affiliate
Business concerns are affiliates if one concern...
Small Business Development Centers (SBDC)
SBDCs offer a broad spec...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Fair and Reasonable Price
A price that is fair to both parties...
Lien
A legal claim against an...
Business Activity
The business (or loss) activity of...
Sole Proprietor
an individual who...

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