Glossary
SBA Terms

Balance Sheet or Statement of Financial Position

Reports an entity’s Assets, Liabilities and Equity (net worth) at a specific time. Assets = Liabilities + Equity.

Updated on
September 8, 2022
Published on
June 20, 2018
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SBA 7a Loans

The 7(a) Loan Program, SBA’s most common loan program, includes assistance for each business with unique needs.
Explore 7a loans

SBA 504 Loans

SBA 504 loans are very popular for long-term, fixed rate financing of up to $5 million for major fixed assets.
Explore 504 loans

SBA Microloans

The average Microloan is about $13,000. The Microloans program provides loans up to $50,000 to small businesses.
Explore microloans
SBA Glossary

Common SBA Terms

Everything you need to know about common terms used to discuss SBA Loans.
Subcontract
A contract between a prime cont...
Adjusted Net Worth
Post disaster fair market value of tangible...
Primary Activity
The major business activity of...
Normal Gross Margin
The margin that would have been...
Available Asset Test
Part of the CET that determines if an applicant(s) has...
Days Payable
A measure of the average time a...
Substantial Damage
This means uninsured or otherwise uncompensated...
Emerging Small Business
A small business concern whose...
Credit Elsewhere Test (CET)
The test to determine the...
Cash Flow Test
Part of the CET that determines if...
Companion File
When an applicant has another application filed...
Hardship Waiver
Method used to approve a...
Applicant Entity
The business entity requesting...
Sole Proprietor
an individual who...
Defense Acquisition Regulatory Council (DARC)
A group composed of rep...

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