Fair and Reasonable Price

A price that is fair to both parties, considering the agreed-upon conditions, promised quality, and timeliness of contract performance. "Fair and reasonable" price is subject to statutory and regulatory limitations.

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.
Acquisition
The acquiring of supplies or...
Substantial Damage
This means uninsured or otherwise uncompensated...
Partnering
A mutually beneficial business-to-bus...
Break-even Analysis
A calculation of the approximate sales...
Standard Industrial Classification (SIC) Code
A code representing a category within...
Amortization
A non-cash operating expense that...
Small Business
A business smaller than...
Extraordinary Items
Additional expenses that are...
Contracting
Purchasing, renting, leasing, or...
Request for Proposal (RFP)
A document outlining a...
Phase 1
Process used to determine the...
Physical Loans
Funds to repair/replace dis...
Coastal Barrier Resource Area (COBRA)
A flood prone area in which...
Subcontract
A contract between a prime cont...
Normal Annual Sales
Those sales that would have...

Get the quick rundown on SBA Loans

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