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SBA 504 Loan Program

Commercial Real Estate & Equipment

$25,000 to $5.5 Million

An illustration of a construction site with heavy duty equipment
 
A small business owner purchasing commercial real estate.
 

The most advanced CDC you’ll ever find.

With over 30 years of experience, B:Side Capital is your premier SBA 504 lending partner. We go the extra mile, from data collection all the way to servicing, helping to educate you and your borrowers every step of the way.

Serving Colorado, Utah, New Mexico, and Arizona, we are a top CDC with a variety of SBA designations (Priority CDC, ALP, ASM, Authorized CDC Liquidator, and PCLP), showcasing our commitment to excellence and advocating for projects of all shapes and sizes to the finish line.

By partnering with us, your small business clients can reap the benefits of the SBA 504 loan program to purchase owner-occupied commercial real estate and are guaranteed to receive best-in-class service throughout the process.

Eligible Use of Funds

 
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Buy, build or renovate owner-occupied commercial real estate

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Purchase machinery or equipment with a life expectancy of 10+ years

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Debt refinance for owner occupied commercial real estate or equipment loans

 
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A pie-chart illustrating the financing breakdown between the bank (50%),  B:Side Capital (40%), and the business owner (10%).
 

Typical Financing Structure

Through this unique public-private partnership, SBA 504 loans are financed in part by a bank (50% of the total loan), in part by B:Side Capital on behalf of SBA (up to 40% of the total loan), and in part by the business owner (10%, 15%, or 20% depending on the type of business and if it’s a startup).

Benefits:

  1. Low down payment of 10-20%, freeing up working capital and money for operational expenses

  2. Long-term fixed interest rates from 10, 20, or 25 years depending on the project

  3. Up to 90% of total project costs can be financed

  4. Lender is typically only responsible for 50% of the total project financing in the 1st lien position and low Loan-to-Value strengthens private lender’s loan portfolio

  1. Secondary market provides additional income opportunities

  2. No maximum loan amount for the bank’s portion of the loan so it’s flexible to fit a variety of project scopes (Note: SBA 504 is capped at $5.5 million)

  3. Professional fees and interim financing costs can be rolled into total project financing

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Standalone Refinance and Refinance with Expansion Programs

The SBA 504 Refinance Loan program is an opportunity for small businesses owners to refinance their existing commercial real estate loan, which functions under similar terms as a typical SBA 504 loan program. Business owners are able to free up their trapped equity. For lenders, these programs provide the ability to minimize risk by limiting your bank’s exposure to 50% of the total project costs and generate new fee income coupled with a quality loan portfolio.

The B:Side Difference

When you choose B:Side, you're not just selecting any CDC or Lender Service Provider. You're joining a mission-driven organization dedicated to the success of small businesses, leveraging decades of experience, expertise, and a commitment to excellence.