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.
Small Business Development Centers (SBDC)
SBDCs offer a broad spec...
Federal Acquisition Regulation (FAR)
The body of regulations which is...
Corporation (C-corp.)
The most common form of business org...
Amortization
A non-cash operating expense that...
Available Asset Test
Part of the CET that determines if an applicant(s) has...
Days Receivable
A measure of the average time a...
Days Payable
A measure of the average time a...
Best and Final Offer
For negotiated procurements...
Income Statement
Shows the entity’s income and...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Applicant Entity
The business entity requesting...
Working Capital (WC)
The amount of current assets that...
Credit Score Test
Part of the home loan CET show a...
Defense Acquisition Regulatory Council (DARC)
A group composed of rep...
Mentor
A business, usually large, or...

Get the quick rundown on SBA Loans

Join over 4,000+ small business owners already growing with us.