Cash Flow Test

Part of the CET that determines if an applicant(s) has sufficient cash flow to borrow private sector funds to repair/replace uncompensated disaster damages without incurring undue hardship.

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.
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Emerging Small Business
A small business concern whose...
Sole Proprietor
an individual who...
Adjusted Net Worth
Post disaster fair market value of tangible...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Fair and Reasonable Price
A price that is fair to both parties...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Partnering
A mutually beneficial business-to-bus...
Phase 2
Process to be used to determine economic injury for...
Credit Elsewhere Test (CET)
The test to determine the...
Subsidiary
A company for which a majority of the...
Certificate of Competency
A certificate issued by the Small Bus...
Contracting Officer
A person with the authority to...
Break-even Analysis
A calculation of the approximate sales...
Federal Acquisition Regulation (FAR)
The body of regulations which is...

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