We know as a small business lender how important it is to get the details straight from the onset of the project. Too many times lenders and/or small business owners see the big picture in their heads and details get overlooked or not communicated. Getting caught in that web will cause frustrations and make for a tense relationship going forward. This can be alleviated by involving FDDC with the SBA 504 loan program from the start of the project – – equity injection requirements, collateral positions, loan terms, interest rates, and other loan requirements will be discussed up front. Not only will a sticky situation be avoided, but you’ll be hysteric upon SBA 504 loan funding, when you’re in a 1st lien position while only lending 50% of the project cost.
Don’t get tangled up in a scary situation – give FDDC a call at 605-882-5115 to discuss how we can help!