Loan Programs

SBA 504

SBA financing of up to 40% of total eligible project costs combined with a participating bank’s financing of 50% to enable a business to purchase/construct/renovate a building and/or purchase equipment.

• Advantages of this program over conventional financing are low down payment (usually only 10% of total project costs from borrower), long-term (20 years), and a fixed interest rate on the SBA loan.

CRF

Community Reinvestment Fund (CRF) loans are also for fixed asset financing and offer similar benefits to the SBA 504 loan.

• Advantages are the same; however, if the project is located in a New Markets Tax Credit area, the terms and conditions of the loan are somewhat better than the SBA 504 loan. Not for profit organizations are also eligible.

Other

Emergency disaster loans, working capital loans through the SBA 7(a) loan program, as well as other sources of funding are described in this section.