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.
Corporation (C-corp.)
The most common form of business org...
Extraordinary Items
Additional expenses that are...
B/E (Business EIDL) Loan
A business loan that...
Income Statement
Shows the entity’s income and...
Hardship Waiver
Method used to approve a...
Normal Gross Margin
The margin that would have been...
Joint Venture
In the SBA Mentor-Protégé Program...
Fair and Reasonable Price
A price that is fair to both parties...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Contractor Team Arrangement
An arrangement in which...
Sole Proprietor
an individual who...
Small Business Innovative Research (SBIR) Contract
A type of contract designed to...
Emerging Small Business
A small business concern whose...
Lien
A legal claim against an...
Substantial Damage
This means uninsured or otherwise uncompensated...

Get the quick rundown on SBA Loans

Join over 4,000+ small business owners already growing with us.