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.
P&L (Profit and Loss Statement)
also considered as Income Statement or...
Guarantor
The legal entity and...
Protégé
A firm in a developmental stage that...
Comparative Analysis
Is designed to point out significant trends that...
Small Business Innovative Research (SBIR) Contract
A type of contract designed to...
Injury Analysis
Measures the effects of...
Collateral
Assets pledged by a borrower to secure a loan...
Trend Analysis
A comparative analysis of...
Equity
An accounting term used to...
Applicant Individual
aka who is requesting an SBA loan...
Working Capital (WC)
The amount of current assets that...
Phase 2
Process to be used to determine economic injury for...
SCORE
Counselors to America's Small Bus...
Applicant Entity
The business entity requesting...
Partnership
A type of unincorporated business org...

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