SBA 504 Project Approvals

SBA reviews four areas before a 504 loan is considered completely approved. It is highly recommended the participating lender wait before disbursing their loan proceeds until FDDC and SBA have reviewed and approved all four items listed below. Membership / Franchise Agreement ApprovalIf the SBA 504 loan applicant has signed a franchise, license, cooperative membership… Read more »

Howdy Partner!

Whether new construction, purchase, or refinance, First District Development Company is here to assist you with your commercial projects. FDDC experts will take the reins from beginning to end on the SBA 504 loan – making it a cinch. As our lending partner you can enjoy: Sharing the risk – with a first lien position… Read more »

504 Project Examples with 504 Refinance Changes

Examples of 504 Refinance projects below incorporate the new rules recently published and effective immediately. A reminder of the changes that were released follow the examples. Contact FDDC for assistance with structuring your specific 504 Refinance project.
504 Debt Refinance with Expansion

Senior Lien Refinancing

(One-Time Refinance of Lender Loan in a 504 Project) First District Development Company (FDDC) has been authorized by the U.S. Small Business Administration (SBA) to approve refinancing of the Third Party Lender (TPL) Loan on an existing SBA 504 project in an amount that, when combined with the outstanding balance on the subordinate 504 loan,… Read more »

Grace Tschakert Joins First District Development Company

Grace Tschakert joined the FDDC team in June, 2021, as an Assistant Loan Officer. Grace received her Bachelor of Science degree in Business Administration with a finance emphasis from Dakota Wesleyan University in Mitchell, South Dakota. While attending Dakota Wesleyan University, Grace was involved in multiple nonprofit organizations such as Big Friend, Little Friend; First… Read more »

Feature 504: Totally Tubular Mfg., Inc., Aberdeen, SD

Totally Tubular Mfg., Inc., located in Aberdeen, SD, started out as a partnership in 2001. The business manufactured and sold starter fertilizer placement tubes for corn planters to local farmers.  Fortunately, the popularity of the tubes quickly grew. Brent Wiesenburger, one of the original partners, became the sole owner of the business in 2017. Brent… Read more »

Timing and Teamwork

SBA’s current wait time for approval on 504 applications is approximately 20 business days so it is crucial to work together as a team with First District Development Company (FDDC), the small business owner, and the lender to ensure a smooth application. It’s always a great idea to have an initial meeting with your FDDC… Read more »

Reminder…SBA 504 Fee Waivers are in Effect Until September 30, 2021

In order to receive these fee eliminations, a new 504 loan needs to be approved prior to September 30, 2021. Since SBA is now at an approximate 20 business day turn around, it is not too early to get your 504 applications in to be processed. Approved applicants will receive fee elimination on two fees… Read more »

Color Outside the Lines

SBA 504 financing is so often associated with hotels, restaurants, and convenience stores/gas stations that it is easy to overlook other types of businesses that are able to utilize the long-term, fixed rate program. Find success outside the norm! SBA 504 can be used for many unique fixed asset projects, related to… Agri-Business (dairy facilities,… Read more »

First District Development Company Awards Julie Puetz 2020 Lender of the Year

Julie Puetz, BankStar Financial’s Chief Credit Officer, was recently recognized as the First District Development Company (FDDC) 2020 Lender of the Year.  Julie was chosen for her use of creative financing and her passion for helping business owners start or grow their business.  She has over 35 years of commercial lending experience and has partnered… Read more »