Borrower Benefits

  • 90% financing on most projects
  • Below market rates
  • 20 year fixed rate on real estate
  • 10 year fixed rate on fixed equipment
  • Improves cash flow
  • Minimal out of pocket expenses
  • Working capital preservation
  • Fully amortizing 10 and 20 year loan
  • Collateral limited to the asset financed

Lender Benefits

  • 90% financing increases potential opportunities
  • Strong collateral position with 1st lien
  • Reduced risk with only 50% LTV
  • Community Reinvestment Act credits on all 504 loans
  • 9 month project look-back for properties in process
  • Blended interest rate offered borrower
  • Balance sheet management

Community Benefits

  • 504 puts excess revenues back into the community
  • 504 program strives to meet Public Policy Goals to enhance success
  • 504 programs create one new job for every $65,000 funded

 

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