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.
S-Corporation
A form of corporation, allowed by...
Business Activity
The business (or loss) activity of...
Income Statement
Shows the entity’s income and...
Affiliates
Business concerns, organizations, or...
Applicant Entity
The business entity requesting...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Adjusted Net Worth
Post disaster fair market value of tangible...
Sole Proprietor
an individual who...
Collateral
Assets pledged by a borrower to secure a loan...
Phase 1
Process used to determine the...
Assets
The amount of current assets that is left...
Contractor Team Arrangement
An arrangement in which...
SAE (Stand Alone Economic Injury Disaster Loan)
provide necessary working capital to...
Affiliated Group
When two or more...
Certificate of Competency
A certificate issued by the Small Bus...

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