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.
Break-even Analysis
A calculation of the approximate sales...
Hardship Waiver
Method used to approve a...
Applicant Individual
aka who is requesting an SBA loan...
Comparative Analysis
Is designed to point out significant trends that...
Primary Activity
The major business activity of...
Credit Score Test
Part of the home loan CET show a...
Trend Analysis
A comparative analysis of...
Liabilities
A financial obligation...
Substantial Damage
This means uninsured or otherwise uncompensated...
Business Activity
The business (or loss) activity of...
Protégé
A firm in a developmental stage that...
Federal Acquisition Regulation (FAR)
The body of regulations which is...
Injury Period
The time period during...
Days Payable
A measure of the average time a...
Capital Leases
are for the purchase of fixed assets such as...

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