Program Description

The 504 loan program provides long-term, fixed rate financing for major fixed assets, such as equipment or real estate. 504 loans are available through Certified Development Companies (CDCs), SBA's community-based partners who regulate nonprofits and promote economic development within their communities. CDCs are certified and regulated by the SBA. Small business applicants work directly with a participating SBA lender and not with SBA. The loan program is designed to assist for-profit businesses that are not able to get other financing from other resources.

Program Requirements

To be eligible for financing under SBA's 504 loan program, the applicant business must meet all of the following:

  • SBA size standards
  • Be for-profit
  • Not already have the internal resources (business or personal) to provide the financing, and
  • Be able to demonstrate repayment.

For more information, please visit SBA’s 504 Loan Program Quick Overview page.

Additional Information

Additional Information
Max Loan Length10 or 20 year maturities
Interest RatePegged to the 10 year Treasury Index
Max Loan Amount$5 million (or $5.5 million for public policy goals: Manufacturing and Green Public Policy Goals)
Payment FrequencyMonthly
Prepayment PenaltiesVaries
Loan Categories
Business books
Business Loans