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.
Companion File
When an applicant has another application filed...
Certificate of Competency
A certificate issued by the Small Bus...
Collateral
Assets pledged by a borrower to secure a loan...
Applicant Individual
aka who is requesting an SBA loan...
Negotiation
Contracting through the use of...
Contractor Team Arrangement
An arrangement in which...
Extraordinary Items
Additional expenses that are...
Business Activity
The business (or loss) activity of...
Intermediary Organization
Organizations that play a funda...
Duplicated Interest
The amount of interest exp...
Fair and Reasonable Price
A price that is fair to both parties...
Subcontract
A contract between a prime cont...
Equity
An accounting term used to...
NAICS
NAICS codes are common...
Request for Proposal (RFP)
A document outlining a...

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