504 Deal Structure        
           
 
    *The spread between the Note Rate and the Effective Rate is made up of servicing fees included in the 504 monthly payment, similar to an APR.          
Note Rate
Eff Rate*
Land
Building
Construction
Source Amount %
Contingency
Bank Loan
  FF&E           504 Loan          
  Prof. Fees           Cash Down          
Other
Total Loans
  Total Cost                          
Mo Bank Pmt 
  Bank Int Rate   %       Mo 504 Pmt            
Bank Amort
yrs
Total Pmt
  Bank % of Proj   %       Annual Debt            
  Cash Down %   %                      
Estimated Prepayment Penalty
                               
  Data for  Loan Comparisons       Comparison of Financing        
                               
  Conventional Bank Loan           504 + Bank Conventional SBA 7(a)        
              Project financing %        
  Loan to Value   %     Amortization (yrs)        
  Amortization   yrs     Interest rate %        
  Interest Rate   %     Total financing        
  Lender Fee         Monthly payment        
              Eff int rate        
  SBA  7(a) Loan       Eq injection        
                               
  Loan to Value   %                      
  Amortization   yrs                      
  Interest Rate   %                      
                               
                               
                               
504 Loan
Project financing %
                Amortization (yrs)            
                Interest rate %            
Total financing
Monthly payment
                               
Bank Loan
Project financing %
Amortization (yrs)
Interest rate %
Total financing
Monthly payment
Fees included in gross loan amount
SBA/CDC Share
Financing Cost
Guarantee fee
$0
504
Funding fee
Interest cost
Processing fee
b.4 SBA-bank fee costs
b.5
CDC Closing fee
Subtotal
Bank
Underwriter's fee
Interest cost
TOTAL
SBA-bank fee costs
SBA 504 Portion of Project
SBA 504 Note with fees
504 + Bank
Balance to borrower
Interest cost
SBA-bank fee costs
SBA fees collected at closing:
Total cost - int&fees
SBA Atty fee IN 
$1,500
SBA Atty fee KY
$2,500
Conventional
SBA Lender fee
Interest cost
SBA-bank fee costs
Total cost - int&fees
SBA (7a)
Interest cost
SBA-bank fee costs
Total cost - int&fees
Gross debenture:
Funding fee
Processing fee
CDC Closing fee
Subtotal
Underwriter's fee
Total
First 5 years pmt
Second 5 years pmt
Third 5 years pmt
Forth 5 years pmt
Average  20 & 25pmt
Average  10pmt