Glossary
SBA Terms

Fair and Reasonable Price

A price that is fair to both parties, considering the agreed-upon conditions, promised quality, and timeliness of contract performance. "Fair and reasonable" price is subject to statutory and regulatory limitations.

Updated on
September 9, 2022
Published on
June 20, 2018
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SBA 7a Loans

The 7(a) Loan Program, SBA’s most common loan program, includes assistance for each business with unique needs.
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SBA 504 Loans

SBA 504 loans are very popular for long-term, fixed rate financing of up to $5 million for major fixed assets.
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SBA Microloans

The average Microloan is about $13,000. The Microloans program provides loans up to $50,000 to small businesses.
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SBA Glossary

Common SBA Terms

Everything you need to know about common terms used to discuss SBA Loans.
Affiliated Group
When two or more...
SCORE
Counselors to America's Small Bus...
Adjusted Net Worth
Post disaster fair market value of tangible...
Guarantor
The legal entity and...
Equity
An accounting term used to...
Phase 1
Process used to determine the...
Small Business Development Centers (SBDC)
SBDCs offer a broad spec...
Duplicated Interest
The amount of interest exp...
Current Liabilities
A balance sheet item, which...
Fair and Reasonable Price
A price that is fair to both parties...
NAICS
NAICS codes are common...
Certificate of Competency
A certificate issued by the Small Bus...
Certified 8(a) Firm
A firm owned and operated by socially and...
Assets
The amount of current assets that is left...
Credit Elsewhere Test (CET)
The test to determine the...

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