504 Capital Corporation

R unning a small business can be challenging, especially regarding securing funding. According to the U.S. Bureau of Labor Statistics, almost 20% of businesses fail within their first year, and over 65% fail within ten years. Lack of financial support is a significant contributor to these failures. Therefore, it is crucial to know where to go for funding assistance, which CDC small business finance corporation should you go to and many other factors.      This blog post will explore three financing options to help small businesses thrive and how 504 Capital can help you acquire small business loans in Virginia . Online Loans: Convenient and Flexible Funding Gone are the days of physically visiting a brick-and-mortar financial institution to secure a business loan. Nowadays, it's much easier to find online nonbank lenders who offer business loans from the comfort of your home or office. Moreover, online loans can be utilized for various expenses such as working capital, e...

  Inflation can pose significant business challenges, eroding their purchasing power and impacting their overall financial stability. However, the CDC small business loans program offers a viable solution for small businesses to combat inflationary pressures. The Certified Development Company (CDC) loan program, administered by the U.S. Small Business Administration (SBA) , provides long-term financing options to help businesses withstand inflationary impacts and thrive.  Let's explore how the CDC business loans program can support businesses in navigating inflationary challenges. Understanding the CDC Business Loans Program The CDC business loans program primarily offers the CDC/504 loan, which provides businesses with fixed-rate, long-term financing for major assets such as real estate, machinery, and equipment. This program collaborates with private-sector lenders and CDCs to provide loans structured to shield businesses from the adverse effects of inflation. How CDC Busin...

A small business owner seeking an SBA loan must go to a lender or bank approved by the SBA. The agency does not directly provide SBA loans. With banks, credit unions, and other lenders, SBA 504 North Carolina provides significant guarantees to help lenders during bankruptcy. Aiming to encourage lenders to offer low-cost financing to small business owners who don't normally qualify for low-cost financing, the program aims to incentivize lenders to offer affordable loans with favorable terms. Discuss the top five sba cdc North Carolina . Popular and well-known SBA 504 lenders in North Carolina Business Expansion Funding Corporation (BEFCOR)  Befcor is one of North Carolina's leading lenders of SBA 504 loans. In addition to extending fixed-rate, interest-free loans to small businesses, they finance property purchases, equipment purchases, and construction projects. Throughout the loan process, BEFCOR provides personalized guidance and knowledge of SBA programs, ensuring busines...

C ongratulations on successfully obtaining small business financing ! You can now confidently move forward, knowing the funding you've worked so hard to obtain is finally within your grasp. However, what happens next? Receiving financing for your small business is a new phase in your entrepreneurial journey. You might be wondering about the next steps or what to expect after approval. It's essential to understand that managing the funds you've received is a significant responsibility that requires careful planning and execution. In this blog, we'll explore what you can expect after obtaining small business financing. Let's dive deeper. Prepare For Closing As an entrepreneur, obtaining small business financing is a significant milestone that requires considerable effort and dedication. Keep in mind that closing is the last step necessary to obtain the funds you need to bring your vision to life. Closing is a crucial process where the final loan documents are signed ...

S mall enterprises are the backbone of any economy and need adequate financing to grow and expand. Unfortunately, traditional bank small business loans often charge high-interest rates and stringent terms, making it challenging for them to access the financing they need. This is where the SBA 504 loan program comes in.  Let's understand how it works. Three Parties Involved in SBA 504 Loans Three parties are involved in the SBA 504 loan process: the borrower, an SBA-approved lender, and a Certified Development Company (CDC) .   The first party involved in the SBA 504 loan process is the borrower. This is the small business owner seeking financing to purchase fixed assets such as real estate, equipment, or machinery. The borrower is responsible for providing 10% of the loan amount as a down payment and securing the remaining 90% through the SBA 504 loan program. The SBA-approved lender is the second party involved in the SBA 504 loan process. The lender is responsible for provi...

  If you're planning a new project as a subdivision developer or seeking to refinance an office building as an owner, you'll require a commercial real estate loan . Commercial real estate pertains to properties used for business purposes, such as malls or hotels, and differs from residential real estate. Business owners, including small business owners, developers, and investors, are the typical borrowers for commercial real estate loans. Unlike residential mortgages, these loans follow a distinct process of underwriting, structure, interest rates, and fees, with multiple options available. Understanding Commercial Real Estate Loans Commercial real estate loans, like residential mortgages, are secured by liens and often utilized to fund property acquisition, development, and construction. However, commercial loans diverge because they may not be amortized over 20 years and are generally categorized as intermediate-term (lasting 3 years or less) or long-term (lasting 5-20 years...