504 loans

U.S. Small Business Administration, 3 min read

This lesson is a guide published on sba.gov.

What you'll get

The SBA's page on 504 loans describes long-term, fixed-rate financing for buildings, land and machinery that will last at least ten years, including equipment for making products, made through a nonprofit certified development company and a bank. It says the loan can't pay for working capital or inventory and gives two different maximum amounts, so read it to see whether a building or major machine is your next big purchase, and ask a development company for the current limit.

Do this week

If you plan to buy a building or a major machine, use the page's finder to find the certified development company that serves your county and ask what it would need to see for that purchase.