Glossary · Reading the business
Non-cash asset
In short
Any asset that is not readily convertible into cash, such as inventory, equipment, real estate, or goodwill. These are critical components of a business's value.
What it means in a deal
When buying a business, you're acquiring a mix of non-cash assets. Understand their fair market value and condition, as they contribute to the collateral for your SBA loan. Goodwill, a significant non-cash asset, represents the value of the business beyond its tangible assets.
Related terms
Common questions about Non-cash asset
- Besides cash, what non-cash assets can I contribute to meet the 10% equity injection for an $800,000 acquisition?
- What types of non-cash assets qualify for an SBA 7(a) equity injection?
- What type of independent valuation is required for non-cash assets to count as equity injection?
- Can I use non-cash assets like vehicles or equipment as part of my down payment?
- Can I use appraised business equipment or other non-cash assets as part of my equity injection?
- How does the SBA verify the value of an equity injection consisting of non-cash assets, like equipment?
Defined by CapBench SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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