FAQs

FAQs2020-09-04T17:33:19-07:00

Program Purpose

What is the purpose of the SBA 504 Loan Program and why does it exist?2017-08-15T14:51:52-07:00

The SBA 504 Loan Program provides economic development financing that is designed to encourage private sector investment in fixed assets, the results of which increases productivity and creates new jobs. The local tax base is also improved by way of adding assets on which taxes are based. The program provides long-term, low down payment, reasonably priced fixed-rate financing to healthy and expanding businesses that have the probability of creating new jobs.

What is a Certified Development Company (CDC)?2017-08-15T14:51:40-07:00

A Certified Development Company (CDC) is a community-based company approved (certified) by SBA to promote economic growth within its area of operations.

What is the role of the Certified Development Company (CDC)?2017-08-15T14:51:30-07:00

The role of a Certified Development Company (CDC) is to:

  • Stimulate the growth and expansion of small businesses primarily through financial assistance; and
  • Offer the SBA 504 Loan Program to eligible small businesses through a full-time professional staff.
Who benefits from the SBA 504 Loan Program?2017-08-15T14:51:21-07:00

The SBA 504 Loan Program benefits:

  • The local economy through job creation.
  • Small expanding businesses by reducing equity requirements and providing high leverage financing over long terms.
  • Local government through an increase in the tax base.

Source of Program Funding