- 5.46%November 2013504 20-Year Term
Many small and mid-sized businesses are eligible for the 504 loan. Whether you need more space for your motel or new equipment for your manufacturing business, the SBA 504 loan can help.
Kinds of businesses served
- Auto and motorcycle dealerships
- Auto repair shops
- Car washes
- Childcare centers
- Dental offices
- Distribution centers
- Hair salons
- Heating and mechanical contractors
- Hotels and motels
- Internet companies
- Law offices
- Medical offices
- Restaurants and food service companies
- Retail and wholesale companies
- Veterinary offices
Answer these questions to find out if your business is eligible:
Are you a for-profit business?
- Has your average net profit after taxes been less than $5 million during the previous two year's tax returns?
- Will this loan be used to finance the acquisition, construction or renovation of real estate or the purchase of equipment?
- If the loan is used to purchase a building, will your business occupy at least 51% of the space?
- If the loan will be used for ground-up construction, will your business occupy at least 60% of the building now and 80% long-term?
- All owners of 20% or more of your business, and a real estate holding company if it is formed, must be willing to guarantee the loan.
If you answered YES to all of these questions, you are likely eligible for a 504 loan.
Your local loan officer can help you determine if you qualify.