Do-it-Yourself Construction with SBA 504


SBA’s guidelines allow a borrower to act as their own contractor on a 504 project where construction and/or installation of machinery and equipment are involved, if the following three criteria are met:

  1. The borrower/contractor is experienced in the type of construction and has all appropriate licenses;
  2. The cost is the same as, or less than, what an unaffiliated contractor would charge, as evidenced by two bids on the work; and
  3. The borrower/contractor will not earn a profit on the construction.

Call FDDC for more information and we’ll hammer out the details with you!