Subsidiary

A company for which a majority of the voting stock is owned by a holding company. For SBA’s purposes, a subsidiary is an affiliate; a company owned or controlled by the applicant business.

Updated on
September 8, 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...
Income Statement
Shows the entity’s income and...
Loan Authorization and Agreement (LA&A)
A contract between SBA and the borrower that...
Balance Sheet or Statement of Financial Position
Assets = Liabilities + Equity...
Electronic Data Interchange
Transmission of information bet...
Certified 8(a) Firm
A firm owned and operated by socially and...
Substantial Damage
This means uninsured or otherwise uncompensated...
Break-even Analysis
A calculation of the approximate sales...
Duplicated Interest
The amount of interest exp...
Sole Proprietor
an individual who...
Subsidiary
A company for which a majority of the...
Economic Injury Disaster Loan (EIDL)
a working capital loan that...
Hardship Waiver
Method used to approve a...
Operating Leases
are deducted on the company’s...
Limited Partnership
A business organization with one or...

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