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.
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Coastal Barrier Resource Area (COBRA)
A flood prone area in which...
Applicant Entity
The business entity requesting...
Operating Leases
are deducted on the company’s...
Subsidiary
A company for which a majority of the...
SCORE
Counselors to America's Small Bus...
Corporation (C-corp.)
The most common form of business org...
Affiliated Group
When two or more...
Contracting
Purchasing, renting, leasing, or...
Normal Annual Sales
Those sales that would have...
Small Business Innovative Research (SBIR) Contract
A type of contract designed to...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Guarantor
The legal entity and...
Defense Contractor
Any person who enters into...
Phase 1
Process used to determine the...

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