Capital Leases

are for the purchase of fixed assets (machinery/equipment) and these assets are shown on the company’s balance sheet and represent a fixed debt. If the lease is a capital lease, the debt should be shown as a Note Payable.

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.
Income Statement
Shows the entity’s income and...
Phase 2
Process to be used to determine economic injury for...
Trend Analysis
A comparative analysis of...
Business Activity
The business (or loss) activity of...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
S-Corporation
A form of corporation, allowed by...
Limited Partnership
A business organization with one or...
Equity
An accounting term used to...
Guarantor
The legal entity and...
Normal Gross Margin
The margin that would have been...
Comparative Analysis
Is designed to point out significant trends that...
Sole Proprietor
an individual who...
Contractor Team Arrangement
An arrangement in which...
Contract
A mutually binding legal rel..
Operating Leases
are deducted on the company’s...

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