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.
Companion File
When an applicant has another application filed...
Cash-basis Accounting
records revenue when cash is...
Liabilities
A financial obligation...
S-Corporation
A form of corporation, allowed by...
Trend Analysis
A comparative analysis of...
Operating Leases
are deducted on the company’s...
Projection
An estimate of future economic or...
Contractor Team Arrangement
An arrangement in which...
B/E (Business EIDL) Loan
A business loan that...
Days Payable
A measure of the average time a...
Defense Acquisition Regulatory Council (DARC)
A group composed of rep...
Comparative Analysis
Is designed to point out significant trends that...
Duplicated Interest
The amount of interest exp...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Negotiation
Contracting through the use of...

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