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.
Depreciation
A non-cash operating expense that...
Duplicated Interest
The amount of interest exp...
NAICS
NAICS codes are common...
Liabilities
A financial obligation...
Capital Leases
are for the purchase of fixed assets such as...
Business Activity
The business (or loss) activity of...
Extraordinary Items
Additional expenses that are...
Corporation (C-corp.)
The most common form of business org...
Subsidiary
A company for which a majority of the...
Lien
A legal claim against an...
Protégé
A firm in a developmental stage that...
Hardship Waiver
Method used to approve a...
Affiliated Group
When two or more...
Days Payable
A measure of the average time a...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...

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