Depreciation

A non-cash operating expense that reduces the value of a tangible asset as a result of wear and tear, age, or obsolescence. Depreciation is recorded in the financial statements of an entity as a reduction in the carrying value of the asset in the balance sheet and as an expense in the income statement.

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.
Working Capital (WC)
The amount of current assets that...
Accrual Basis Accounting
recognizes revenues when earned and expenses are...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Emerging Small Business
A small business concern whose...
NAICS
NAICS codes are common...
Days Receivable
A measure of the average time a...
GPM%
The measure of every sales dollar left...
Contracting
Purchasing, renting, leasing, or...
Affiliates
Business concerns, organizations, or...
Primary Activity
The major business activity of...
Normal Gross Margin
The margin that would have been...
Break-even Analysis
A calculation of the approximate sales...
Normal Annual Sales
Those sales that would have...
Contract
A mutually binding legal rel..
Hardship Waiver
Method used to approve a...

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