SBA 504 down payments are often around 10%, but startups or special-use properties may require 15% to 20% equity.
SBA 504 down payments are often around 10% for standard eligible projects. A common structure is 50% bank financing, 40% CDC/SBA financing, and 10% borrower equity.
The borrower contribution may increase to 15% or 20% when the project involves a startup, special-use property, or a higher-risk structure.
Because SBA 504 financing uses multiple pieces, borrowers should review both the cash injection and the blended effective rate.
SBA down payments often start around 10%, but may rise to 15% to 20% for startups, special-use property, or weaker files.
SBA 7(a) down payments often start near 10%, but may be higher for startups, acquisitions, or weaker credit profiles.
Many SBA loans use a 10% borrower contribution, but startups, special-use properties, or weaker files may need more.
SBA equity injection commonly starts around 10%, but 15% to 20% may be required for higher-risk transactions.
Have an SBA loan scenario to review? Market Direct Capital can help evaluate structure, eligibility, and next steps.
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