Amortization

A non-cash operating expense that reduces the value of intangible assets (such as patents, trademarks or goodwill) in a systematic manner. Amortization is recorded in the financial statements of an entity as a reduction in the carrying value of the intangible asset in the balance sheet and as an expense in the income statement.

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.
Collateral
Assets pledged by a borrower to secure a loan...
Cash Available to Service Additional Debt (CASAD)
The cash flow determined that...
Contractor Team Arrangement
An arrangement in which...
Income Statement
Shows the entity’s income and...
Cash Flow Test
Part of the CET that determines if...
Credit Score Test
Part of the home loan CET show a...
Days Receivable
A measure of the average time a...
Contracting Officer
A person with the authority to...
Primary Activity
The major business activity of...
Injury Analysis
Measures the effects of...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Extraordinary Items
Additional expenses that are...
Affiliates
Business concerns, organizations, or...
Guarantor
The legal entity and...
Days Payable
A measure of the average time a...

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