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.
Partnership
A type of unincorporated business org...
Days Payable
A measure of the average time a...
Business Activity
The business (or loss) activity of...
Request for Proposal (RFP)
A document outlining a...
Trend Analysis
A comparative analysis of...
Best and Final Offer
For negotiated procurements...
Prime Contract
A contract awarded directly...
Collateral
Assets pledged by a borrower to secure a loan...
Emerging Small Business
A small business concern whose...
Limited Liability Entities (company/partnership)
An LLE provides business owners with...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Contractor Team Arrangement
An arrangement in which...
Equity
An accounting term used to...
Affiliates
Business concerns, organizations, or...
Small Disadvantaged Business Concern
A small business concern that...

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