Equity

An accounting term used to describe the net investment of owners or stockholders in a business. Under the accounting equation, equity also represents the result of assets less liabilities.

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.
Prime Contract
A contract awarded directly...
Normal Gross Margin
The margin that would have been...
Sole Proprietor
an individual who...
Intermediary Organization
Organizations that play a funda...
Operating Leases
are deducted on the company’s...
Current Liabilities
A balance sheet item, which...
Days Payable
A measure of the average time a...
Schedule of Liabilities
A business debt schedule that lists all of the debts...
Available Asset Test
Part of the CET that determines if an applicant(s) has...
Electronic Data Interchange
Transmission of information bet...
Fair and Reasonable Price
A price that is fair to both parties...
Emerging Small Business
A small business concern whose...
Credit Elsewhere Test (CET)
The test to determine the...
Small Business
A business smaller than...
Applicant Entity
The business entity requesting...

Get the quick rundown on SBA Loans

Join over 4,000+ small business owners already growing with us.