Depreciation

A non-cash operating expense that reduces the value of a tangible asset as a result of wear and tear, age, or obsolescence. Depreciation is recorded in the financial statements of an entity as a reduction in the carrying value of the asset in the balance sheet and as an expense in the income statement.

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.
Equity
An accounting term used to...
NAICS
NAICS codes are common...
Corporation (C-corp.)
The most common form of business org...
Phase 2
Process to be used to determine economic injury for...
Adjusted Net Worth
Post disaster fair market value of tangible...
Days Receivable
A measure of the average time a...
Sole Proprietor
an individual who...
Fair and Reasonable Price
A price that is fair to both parties...
Break-even Analysis
A calculation of the approximate sales...
Credit Score Test
Part of the home loan CET show a...
Assets
The amount of current assets that is left...
Partnering
A mutually beneficial business-to-bus...
GPM%
The measure of every sales dollar left...
Joint Venture
In the SBA Mentor-Protégé Program...
Companion File
When an applicant has another application filed...

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