The proceeds of this loan will be to finance the acquisition or construction of fixed assets or refinance non-government guaranteed debt.
The Operating Company and all affiliates do not have a tangible net worth in excess of $15 million and does not have an average net income in excess of $5 million after taxes for the preceding two years.
My business is not engaged in speculation or investment in rental real estate, including apartment buildings and/or mobile home parks.
My business will occupy at least 51% of the building being purchased, if an existing building; or for ground-up construction, 60% upon completion and 80% within the near future.
At least 51% of the owners of this business are US Citizens or persons lawfully in the US.
All business owners of 20% or more of the Operating Company (OC) or Eligible Passive Company (EPC) must
guarantee the SBA debt. Each spouse with an ownership interest in the EPC or the OC must personally guarantee the loan in full when the combined ownership interest of both spouses in the EPC or the OC is 20% or more.
None of the owners of this business have had prior losses with the US Government, including student loans, FHA or VA home loans.
All business owners have good character with no previous or pending convictions, arrests, probations, bankruptcies or lawsuits. If no, a clearance may be obtained through SBA.
The borrower must create or retain at least 1 job per $65,000 ($100,000 for manufacturing) guaranteed by the SBA, improve the economy of the locality, or achieve one or more public policy goals.
Please contact one of our team members to determine if you meet one of these public policy goals.
Loans can be made to small business, whether you are a start-up or an existing business. A start-up business requires an additional down payment of 5% of the project costs. Start-up businesses will require a business plan and reasonable projected financial statements. Please visit the “Other Links” for resources to assist you with these projections.
If all the above questions are answered as YES, the business will typically be eligible for an SBA 504 loan.
Contact one of our knowledgeable team members today to discuss your project and how the SBA 504 Loan Program can work for you.
Effective Rates April 2018 20 Year Rate: 5.03%
10 Year Rate: 5.11%