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.
Substantial Damage
This means uninsured or otherwise uncompensated...
Business Activity
The business (or loss) activity of...
Adjusted Net Worth
Post disaster fair market value of tangible...
Partnering
A mutually beneficial business-to-bus...
Certified 8(a) Firm
A firm owned and operated by socially and...
Emerging Small Business
A small business concern whose...
Prime Contract
A contract awarded directly...
Cash-basis Accounting
records revenue when cash is...
Mentor
A business, usually large, or...
Acquisition
The acquiring of supplies or...
Defense Contractor
Any person who enters into...
Days Payable
A measure of the average time a...
Extraordinary Items
Additional expenses that are...
Amortization
A non-cash operating expense that...
Working Capital (WC)
The amount of current assets that...

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