|Bank Loan||Capital Funding SBA (504 loan)||Borrower Down Payment|
|% of project||50%||40%||10%|
|Security||1st Lien||2nd Lien|
|Interest Rate||Market Rate||Below Market Fixed Rate|
|Term||10-30 years||10, 20 or 25 years|
|Amortization||20-30 years||25 years|
Bank or non-bank lender - provides 50% of the project financing with the interest rate being fixed or variable.
SBA 504 Loan
Loan may finance up to 40% or $5.0 million. The interest rate will be Fixed for the term of 10, 20 or 25 years. Manufacturing companies and new Energy Efficient Buildings may finance up to 40% or $5.5 million.
Down Payment is provided by the Business Owner. A down payment of at least 10% of the total project cost is required in cash or equity.