Substantial Damage

means uninsured or otherwise uncompensated disaster damages:

a) For homes is either: 40 percent or more of the home's pre-disaster fair market value (FMV) or replacement cost including the value of any land, whichever is less; or 50 percent or more of the structure’s pre-disaster fair market value or replacement cost, (excluding the value of any land) whichever is less.

b) For businesses is either: 40 percent or more of the aggregate value (lesser of market value or replacement cost at the time of the disaster) of the damaged real property (including the value of any land) and damaged machinery and equipment; or50 percent or more of the aggregate value (lesser of market value or replacement cost at the time of the disaster) of the damaged real property (excluding the value of any land) and damaged machinery and equipment.

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.
Liabilities
A financial obligation...
Subsidiary
A company for which a majority of the...
Contracting Officer
A person with the authority to...
Break-even Analysis
A calculation of the approximate sales...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Full and Open Competition
With respect to a contract action...
Assets
The amount of current assets that is left...
Affiliates
Business concerns, organizations, or...
P&L (Profit and Loss Statement)
also considered as Income Statement or...
Best and Final Offer
For negotiated procurements...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Primary Activity
The major business activity of...
Current Liabilities
A balance sheet item, which...
Projection
An estimate of future economic or...
Small Business
A business smaller than...

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