Accrual Basis Accounting

recognizes revenues when earned and expenses are matched with the related revenues and/or are reported when the expense occurs, not when the cash is paid deducts expenses when incurred.

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.
Subsidiary
A company for which a majority of the...
Income Statement
Shows the entity’s income and...
Credit Elsewhere Test (CET)
The test to determine the...
Prime Contract
A contract awarded directly...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Contract
A mutually binding legal rel..
Liabilities
A financial obligation...
Credit Score Test
Part of the home loan CET show a...
Adjusted Net Worth
Post disaster fair market value of tangible...
Coastal Barrier Resource Area (COBRA)
A flood prone area in which...
Primary Activity
The major business activity of...
Guarantor
The legal entity and...
Extraordinary Items
Additional expenses that are...
Current Assets
A balance sheet item which equals...
Certificate of Competency
A certificate issued by the Small Bus...

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