Principal

the owner(s) of the Applicant Entity that have a controlling financial interest in the business. SBA defines controlling interest as an owner who owns 20% or more of the Applicant Entity or are a General Partner or Managing Member regardless of ownership percentage.

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.
Cash Available to Service Additional Debt (CASAD)
The cash flow determined that...
Applicant Individual
aka who is requesting an SBA loan...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Collateral
Assets pledged by a borrower to secure a loan...
Break-even Analysis
A calculation of the approximate sales...
Applicant Entity
The business entity requesting...
Mentor
A business, usually large, or...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Partnership
A type of unincorporated business org...
Full and Open Competition
With respect to a contract action...
SCORE
Counselors to America's Small Bus...
GPM%
The measure of every sales dollar left...
Acquisition
The acquiring of supplies or...
Negotiation
Contracting through the use of...
B/E (Business EIDL) Loan
A business loan that...

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