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.
Guarantor
The legal entity and...
Subsidiary
A company for which a majority of the...
Phase 1
Process used to determine the...
Injury Period
The time period during...
Amortization
A non-cash operating expense that...
GPM%
The measure of every sales dollar left...
Duplicated Interest
The amount of interest exp...
Collateral
Assets pledged by a borrower to secure a loan...
Current Liabilities
A balance sheet item, which...
Full and Open Competition
With respect to a contract action...
Certified 8(a) Firm
A firm owned and operated by socially and...
Best and Final Offer
For negotiated procurements...
Partnering
A mutually beneficial business-to-bus...
Contractor Team Arrangement
An arrangement in which...
Affiliate
Business concerns are affiliates if one concern...

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