PITTSON, PA — The SBA 504 Program is a small business lending program that is guaranteed by the U.S. Small Business Administration. The program provides below market financing for small businesses that otherwise would not be able to obtain it. A bank or other lender finances 50% of the project cost and takes a first lien position on the assets financed. The SBA 504 loan finances 40% of the project cost up to $5.5 million and takes a second lien position. The borrower then contributes a down payment of as little as 10%. The term of the loan can be up to 25-years, guaranteed by SBA with a fixed interest rate. Eligible project costs through SBA 504 include: • Land and Building Acquisition
The NEPA Alliance announces 25-Year Debenture SBA 504 funding rate is 4.99%
