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.
Prime Contract
A contract awarded directly...
Business Activity
The business (or loss) activity of...
Protégé
A firm in a developmental stage that...
Assets
The amount of current assets that is left...
Contractor Team Arrangement
An arrangement in which...
Credit Elsewhere Test (CET)
The test to determine the...
Accrual Basis Accounting
recognizes revenues when earned and expenses are...
Days Receivable
A measure of the average time a...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Subsidiary
A company for which a majority of the...
Emerging Small Business
A small business concern whose...
Cash Available to Service Additional Debt (CASAD)
The cash flow determined that...
Electronic Data Interchange
Transmission of information bet...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Acquisition
The acquiring of supplies or...

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