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.
Available Asset Test
Part of the CET that determines if an applicant(s) has...
Normal Gross Margin
The margin that would have been...
Capital Leases
are for the purchase of fixed assets such as...
Negotiation
Contracting through the use of...
Liabilities
A financial obligation...
Trend Analysis
A comparative analysis of...
Defense Acquisition Regulatory Council (DARC)
A group composed of rep...
Federal Acquisition Regulation (FAR)
The body of regulations which is...
Current Assets
A balance sheet item which equals...
Certificate of Competency
A certificate issued by the Small Bus...
Business Activity
The business (or loss) activity of...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Small Business Development Centers (SBDC)
SBDCs offer a broad spec...
Defense Contractor
Any person who enters into...
Corporation (C-corp.)
The most common form of business org...

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