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S CORPORATION
Formerly called a subchapter S Corporation, Corporations with fewer than 36 shareholders may elect to receive special [S] status, which enables the company to enjoy the benefits of incorporation while being taxed as if it were a partnership.
SALES PRICE
The total amount of consideration for which property is sold.
SBC (Small Business Centers)
These 12 GSA centers located throughout the United States can help you tap the multi-billion-dollar GSA "market" for goods and services.
SBDC (Small Business Development Center)
These centers are located throughout the United States and are administered by the SBA. They facilitate the delivery of joint government, academic and private sector services for the benefit of small business and the national welfare. They are committed to the development and productivity of business and the economy in specific geographical regions.
SBIC (Small Business Investment Corporation)
SBICs are licensed by the SBA as federally funded private venture capital firms. Money is available to small businesses under a variety of agreements.
SCORE
The Service Corps of Retired Executives is a volunteer management assistance program of the SBA. SCORE volunteers provide one-on-one counseling and workshops and seminars for small businesses. There are hundreds of SCORE offices throughout the United States.
SDC (Seller's Discretionary Cash Flow)
The cash flow available to the Seller after deducting the cost of sales and necessary operating expenses from gross sales and before deducting for interest, taxes, depreciation and amortization. It is a combined estimate of business net income, compensation to the owner, fringe benefits, interest and depreciation expense.
SECONDARY MARKET
Those who purchase an interest in a loan from an original lender, such as banks, institutional investors, insurance companies, credit unions and pension funds.
SELL
To transfer ownership of property [real or personal] in exchange for consideration.
SIC (Standard Industrial Classification Code)
A four-digit number assigned to identify a business based on the type of business or trade involved. The first two digits correspond to major groups such as construction and manufacturing, while the last two digits correspond to subgroups such as constructing homes versus constructing highways. A business can determine its SIC number by looking it up in a directory published by the Department of Commerce, or by checking in the SIC book in the reference section of a local library. SBA size standards are based on SIC codes.
SIMPLE INTEREST
Interest paid only on the principal of a loan.
SOLE PROPRIETORSHIP
The simplest (and most popular) form of business organization. The individual is personally liable for all debts of the business to the full extent of his or her property. On the other hand, the owner has complete control of the business.
SURETY BONDS
Surety bonds provide reimbursement to an individual, company or the government if a firm fails to complete a contract. SBA guarantees surety bonds in a program much like SBA's guaranteed loan program.
SWEAT EQUITY
A common form of "investment." This refers to equity earned [in excess of salary] by investing time and services [as opposed to capital] in a business.
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