Access to Capital Glossary

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Secured Loans

Secured credit refers to loans your business can qualify for by promising collateral, like equipment or real estate. If you default on a secured loan, the collateral and other property can be seized by the lender to satisfy any part of the loan that has not been paid. Loans can also be secured by the lenders putting a blanket lien on your business.

Short Term

A short term loan typically has a repayment stipulation of one year or less.

Size Standards

The term "size standard" describes the definition of a small business. A business is considered "small" if it meets or is below an established "size standard." Check loan terms to make sure that your business qualifies as a small business.

Solvency

A business is considered solvent if it has the appropriate financial abilities to meet any obligations or liabilities and continue to break even or make profit.

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