SBA 504 Program

Frequently Asked Questions

SBA 504 Purpose

The SBA 504 Program provides small business owners with affordable financing options to purchase real estate for their business. The SBA 504 Program allows borrowers to construct new facilities, purchase equipment/furnishings, upgrade facilities, or add clean energy efficiencies to their building.

SBA 504 Structure

  • A conventional lender provides 50% of the total project cost
  • A CDC (Such as TMC Financing) /SBA provides up to 40% of the total project cost
  • The borrower provides a 10% down payment (15% for new businesses or special purpose properties)