Most small business expansion projects involve the creation of jobs; however, some entail a change of ownership, a non-labor intensive business, or a technology upgraded business that eliminates the need for manpower. These business situations are still eligible for SBA 504 financing if they meet one of SBA’s economic development goals. Here’s a complete list of how a small business can qualify…
- Rural Development (any business located outside of Sioux Falls or Rapid City in South Dakota)
- Woman-Owned Business (at least 51% ownership)
- Minority-Owned Business (at least 51% ownership)
- Veteran-Owned Business (at least 51% ownership)
- Expansion of Exports
- Energy Efficient Business
- Business District Revitalization
- 1 Job Created or Retained per $75,000 of 504 Dollars Borrowed OR
- 1 Job Created or Retained per $120,000 of 504 Dollars Borrowed to a Small Manufacturer
Refinancing of commercial real estate and/or equipment is also available under SBA 504, which would not require job creation.