SBA 504 Loan Interest Rates

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March 2024

25-Year Fixed Rate Standard:

25-Year Fixed Rate Refinance:

20-Year Fixed Rate Standard:

20-Year Fixed Rate Refinance:

10-Year Fixed Rate Standard:

10-Year Fixed Rate Refinance:

Official monthly SBA 504 effective interest rate tables can be found at Eagle Compliance LLC. 25- and 20-year term loans fund every month; 10-year term loans fund every other month. Effective interest rates are inclusive of servicing fees, which are subject to credit risk of the applicant.

Servicing the States of Alabama, Florida, and Georgia.

SBA 504 Loan Program for Lenders & Credit Unions

Need a Lending Edge? We Can Help You Remain Competitive in the Small Business Lending Market.

Sometimes traditional lending methods just don’t fit. The SBA 504 Loan Program is a great alternative that can help commercial lending organizations and credit unions retain and attract customers, assist in risk and liquidity management and provide fee and interest income.

By working with Florida First Capital/First Capital Finance, you can provide up to 90% financing for eligible fixed asset purchases, such as commercial real estate and heavy duty machinery and equipment, to small business customers who might otherwise be unable to find long-term credit to grow and expand.

504 Loan Structure

  • A commercial lender or credit union typically finances 50% of the project cost and takes a first mortgage position on the assets financed with a minimum term of 10 years for real estate and seven years for fixed heavy duty machinery and equipment.
  • Florida First Capital/First Capital Finance/SBA typically finances 40% of the project cost up to a $5.5 million cap and takes a second mortgage position with terms up to 25 years for real estate and equipment. The 504 loan rate is fixed with level debt payments.
  • The borrower puts in as little as 10% equity.
  • There is no limit on overall project size.

Benefits for Our Lending Partners

  • Ability to offer up to 90% long-term financing for the purchase of commercial real estate, heavy duty machinery and equipment and other eligible fixed assets.
  • Expands your business loan portfolio.
  • Minimizes collateral risk; puts your lending organization in a first lien position with an attractive 50% LTV.
  • Lending organization makes its own credit decisions with its own loan documentation.
  • Lending organization sets its rates and fees.
  • Earn fees and interest income on interim loans related to the project.
  • Florida First Capital/First Capital Finance can work directly with the 504 applicant, saving your staff valuable time.
  • Helps manage lending limits and industry exposure.
  • The 504 Bridge Loan Program (available in Florida only) provides our lending partners with bridge loan funds to cover all or part of the second mortgage during the interim period of the 504 project until the permanent SBA second mortgage takeout occurs. Details here.

Explore Your Small Business Loan Possibilities