504 Capital Corporation

There is no doubt that Small Business Administration (SBA) and conventional bank loans are popular options for business owners who need short-term funding or need help paying for expensive equipment. An SBA 504 loan rates and a conventional loan feature lower interest rates, but they are fundamentally different.  The SBA loan provides a partial government guarantee, whereas a conventional loan does not. Therefore, SBA loans typically have a higher amount, a low-interest rate, and a longer repayment. A small business must understand that conventional and SBA loans are excellent lending options. As with both SBA and conventional business bank loans, these options are offered at a low cost and with flexible repayment terms. Here's a comparison of SBA 504 loan vs. conventional loan What is an SBA loan? Small business loans are government-guaranteed loans, and the Small Business Administration guarantees up to 85% of loans issued by approved lenders. As a result, the lender is at a mu...

SBA loans have helped small businesses all across the country stay in business and remain open during the COVID-19 pandemic. SBA loans are here to stay, meaning you can apply and qualify for an SBA loan today. SBA loans are a great alternative to traditional loans. As an SBA CDC in Virginia and North Carolina , 504 Capital is here to explain the different types, benefits, and limitations of SBA loans. What are SBA Loans? SBA loans are small business loans that are given by certified development companies and backed by the government’s small business association. These loans can be used by small businesses looking to purchase fixed assets or establish operating capital. Even now, during the COVID-19 pandemic , SBA loans have helped many small businesses stay afloat and remain open. Different Types of SBA Loans There are three different types of SBA loans that small businesses can apply for. There are 7(a) loans, 504 loans, and microloans. SBA 7(a) loan amounts can reach up to $5 mil...

A Small Business Administration (SBA) loan often ends up serving as a lifeline for small businesses. These loans offer the lowest rates and payments and the longest terms available on the market. Funds can be used for a wide variety of functions, including advertising, operating capital, hiring staff, buying equipment or buying/refinancing a commercial property. You may have been researching SBA lenders or small business loans in Maryland, North Carolina, and Virginia and still have questions about SBA loans. The most important takeaway should be that working with a reputable lender like 504 Capital Corporation is the best way to find a loan structure that’s the best fit for your business needs. Here are some facts you might not be aware of: SBA Loans Are Borrower Friendly In fact, the SBA program was created specifically to provide small businesses across America with more flexible and favorable terms than conventional lending. The organization is dedicated to assisting borrowers w...

Are you looking for small business financing in Virginia ? If so, congratulations. You're about to invest in the local economy and likely put yourself on the path to financial success. But before you can move forward with your small business plan , it’s important to choose the right loan provider. You have a few attractive options for small business financing in Virginia through the United States Small Business Administration (SBA) . The SBA 504 loan and the SBA 7(a) are both great choices for small businesses. But what’s the difference between them? We took a look at both loan types to help you decide what is right for your business. Breaking down the SBA 504 Loan Requirements: To work with an SBA 504 loan provider in VA , you will need to have a solid business plan for a for-profit, U.S. company and good credit. Financing is available up to $5 million. Benefits: This loan is best for business owners looking to buy commercial real estate , heavy machinery or equipment , or prope...