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.
Partnership
A type of unincorporated business org...
Equity
An accounting term used to...
Phase 1
Process used to determine the...
Applicant Individual
aka who is requesting an SBA loan...
Contractor Team Arrangement
An arrangement in which...
Available Asset Test
Part of the CET that determines if an applicant(s) has...
Applicant/Co-Applicant
Business entity and person requesting...
Normal Annual Sales
Those sales that would have...
Affiliates
Business concerns, organizations, or...
Full and Open Competition
With respect to a contract action...
Prime Contract
A contract awarded directly...
Small Disadvantaged Business Concern
A small business concern that...
Days Receivable
A measure of the average time a...
Schedule of Liabilities
A business debt schedule that lists all of the debts...
SCORE
Counselors to America's Small Bus...

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