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.
Equity
An accounting term used to...
Liabilities
A financial obligation...
Defense Contractor
Any person who enters into...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Coastal Barrier Resource Area (COBRA)
A flood prone area in which...
Certified 8(a) Firm
A firm owned and operated by socially and...
Contracting
Purchasing, renting, leasing, or...
Amortization
A non-cash operating expense that...
Partnership
A type of unincorporated business org...
Emerging Small Business
A small business concern whose...
Break-even Analysis
A calculation of the approximate sales...
Trend Analysis
A comparative analysis of...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Income Statement
Shows the entity’s income and...
Federal Acquisition Regulation (FAR)
The body of regulations which is...

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