504 loans

U.S. Small Business Administration, 3 min read

This lesson is a guide published on sba.gov.

Read the guide

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, made through a nonprofit certified development company and a bank, and says it can't pay for working capital or inventory. No equipment-financing lesson written for service firms turned up, so this comes from the Manufacturing track; it fits a trade or studio buying a building or major equipment, not trucks and tools replaced every few years.

Do this week

If your next big purchase is a building or major equipment, use the page's finder to find the certified development company for your county and ask what it would need to see.