To help small businesses save on financing costs, the SBA 504 program is a long-term, fixed-rate financing tool designed to provide attractive financing options for small businesses in need of expansion and/or purchases. Terms are up to 25 years.
BDC provides the SBA 504 Loan Program through its associated company Certified Development Corporation(CDC). CDC is a private, non-profit corporation designed to encourage economic development in South Carolina by working with the SBA and private sector lenders to provide attractive financing options for small businesses in need of expansion and/or acquisitions of long term assets such as real estate and long-life equipment.
(subject to the limitations above)
Small business owners and bankers can now take advantage of the SBA’s permanent change to the 504 Loan Program allowing for the refinance of eligible business debt. This is an essential tool to lower monthly debt obligations and access equity in commercial real estate.
This SBA program, administered by the Certified Development Corporation of South Carolina (CDC of SC), provides small businesses with competitive, full term, fixed interest rate refinancing with repayment terms of 25 years for up to 90% of the appraised value of commercial real estate property. In addition, and only via this program, can an SBA 504 loan be used to refinance eligible business operating expenses (cash-out option).
Basic Eligibility Guidelines
Business must pay 10% to 20% of project costs