Subsidiary

A company for which a majority of the voting stock is owned by a holding company. For SBA’s purposes, a subsidiary is an affiliate; a company owned or controlled by the applicant business.

Updated on
September 8, 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.
Small Disadvantaged Business Concern
A small business concern that...
Full and Open Competition
With respect to a contract action...
Negotiation
Contracting through the use of...
Protégé
A firm in a developmental stage that...
Hardship Waiver
Method used to approve a...
Credit Elsewhere Test (CET)
The test to determine the...
Applicant/Co-Applicant
Business entity and person requesting...
GPM%
The measure of every sales dollar left...
Principal
the owner(s) of the Applicant Entity that...
Acquisition
The acquiring of supplies or...
Defense Contractor
Any person who enters into...
Collateral
Assets pledged by a borrower to secure a loan...
Equity
An accounting term used to...
Limited Liability Entities (company/partnership)
An LLE provides business owners with...
Normal Annual Sales
Those sales that would have...

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