SBA 504 Loans

Yogurt Mountain Image

The SBA 504 Fixed Asset Financing Program (also known as a Participating Loan) is administered through non-profit Certified Development Companies throughout the country. This program provides funding for purchase of land or new construction, acquisition of existing buildings, modernization -renovation or improvement of commercial property, and/or purchase of business equipment/machinery. Of the total project costs, a lender  provides 50% financing, a Certified Development Company provides 40% of the financing through the SBA, and the applicant injects approximately 10% of the total project costs.

Loans at a Glance

Financing Available For:

  • Real estate purchase for business owners
  • New Construction, Rehab and Remodel
  • New Purchases for Long-Life Equipment

Product Features:

  • Up to 90% financing for owner-user commercial properties through SBA Programs
  • Fixed rate for ten years on equipment loans and up to 25 years on real estate transactions (SBA portion - 40% piece)
  • Lender portion generally amortized over 20 or 25 years and terms no less than 10 years
  • Creative Financing alternatives