SBA 504 Refinance Program Enhancements

The Small Business Administration (SBA) recently released a new SOP (Standard Operating Procedure), which includes eligibility changes that make the SBA 504 Refinance Program even more obtainable. The changes aim to make the SBA 504 refinance loan accessible to more small businesses by modifying eligibility criteria and reducing required documentation.*

Summary of New SBA 504 Refinance Regulations Effective 11.13.23


  • Businesses can qualify for the SBA 504 Refinance Program when 75 percent of the original loan was used for 504 eligible assets (the previous requirement was 85 percent).

Procedural Changes

  • The SBA will no longer require permission from the original lender, streamlining and simplifying the refinance process.

(Note: if refinancing a 7a or 504 loan, a letter must be sent to the original lender within 10 businesses days of submitting to SBA for approval)

*All SBA 504 information above is subject to full pending SBA implementation guidance – required regulations, notices, and revised forms.  The regulations surrounding a CDC’s ability to implement the new regulatory changes are still being finalized. The SBA is expected to provide more information as soon as it is available.

Please check back for the most up-to-date information.