SBA Q&A

What Is an SBA 504 Loan?

SBA 504 loans are designed for owner-occupied real estate and major fixed asset financing with long-term repayment.

What Is an SBA 504 Loan?

An SBA 504 loan is designed primarily for owner-occupied commercial real estate and major fixed asset financing.

These loans often include a bank first mortgage, a CDC second mortgage, and borrower equity.

  • Owner-occupied real estate is a common 504 use.
  • Construction and expansion may qualify.
  • Large equipment purchases may qualify.
  • Long-term amortization may improve cash flow.
  • Fixed-rate CDC financing is a common feature.

SBA 504 can be a strong option for businesses buying or improving commercial property.

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More SBA Loan Programs Questions

What Is an SBA 7(a) Loan?

SBA 7(a) loans are flexible business loans that may be used for working capital, acquisitions, equipment, refinancing, and real estate.

What Is an SBA Express Loan?

SBA Express loans offer smaller loan amounts, often up to $500,000, with a streamlined process and potentially faster decisions.

What Is an SBA Microloan?

SBA Microloans provide smaller loans, generally up to $50,000, through nonprofit intermediary lenders.

What Are SBA CAPLines?

SBA CAPLines are SBA-backed working capital lines designed for eligible short-term, seasonal, contract, or builder needs.

What Is an SBA EIDL Loan?

EIDL loans are disaster-related working capital loans designed to help businesses recover from economic injury.

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