When mulling over your clients’ small business fixed asset project, remember the SBA 504 program can be used to finance fixed asset projects such as the following:
- Ag Related Projects
- Assisted Living Facilities
- Daycare Facilities
- Professional Offices
- Retail Businesses
- Self-Storage Units
- Sports Facilities
SBA 504 financing can be used for almost any type of business. The 504 program is so often associated with hotels, restaurants, and convenience stores/gas stations, that it is easy to forget the other types of businesses able to utilize the long-term, fixed interest rate program. The typical 504 financing structure rules, which apply to all 504 applicant businesses, are – 50% private lender, 40% SBA 504 loan, and 10% owner’s equity injection (additional equity required for a new business or special purpose property).
To spice up your portfolio with additional flavorful businesses – give FDDC a call at 605-882-5115!