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.
Collateral
Assets pledged by a borrower to secure a loan...
Equity
An accounting term used to...
Affiliates
Business concerns, organizations, or...
Electronic Data Interchange
Transmission of information bet...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Credit Score Test
Part of the home loan CET show a...
Guarantor
The legal entity and...
NAICS
NAICS codes are common...
Negotiation
Contracting through the use of...
Injury Analysis
Measures the effects of...
Working Capital (WC)
The amount of current assets that...
Mentor
A business, usually large, or...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Applicant/Co-Applicant
Business entity and person requesting...
Sole Proprietor
an individual who...

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