SBA 504 Loans

The Small Business Administration 504 Loan Program provides small businesses up to $5.5 million for long-term assets or improvements. Loans are designed to promote business growth and job creation.

  • Low, long-term fixed rate
  • Longer repayment terms than other business loans
  • Lower down payment options

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The CreditBench Connection

As one of the nation’s top lenders for Small Business Administration loans, BayFirst’s small business lending division, CreditBench, offers a wide range of lending options for business owners in Tampa Bay and across the nation, and delivers fast and reliable funding to help you stay on track to reach your goals.
 

SBA 504 Loan Uses

  • Purchase or construct existing buildings or land, new facilities, or long-term machinery and equipment
  • Improve existing facilities, including utilities, streets and parking lots

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Who is Eligible?

To be eligible for a 504 loan with us, your business must:

  • Operate as a for-profit company in the U.S.
  • Have a tangible net worth of less than $20 million
  • Have an average net income of less than $6.5 million after taxes for the previous two years
  • Fall within the SBA size guidelines
  • Prove ability to repay the loan
Contact us for additional information on eligibility criteria and requirements.

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What's Next? Get Started

Our streamlined process and advanced technology make applying for your 504 loan fast and easy.

  • Apply

    Contact us to get started.

    Contact Us

  • Get Approved

    We'll quickly let you know if you qualify and for how much.

  • Get to Work

    Start using your funds to grow your business.

Why BayFirst?

When you borrow or refinance using a 504 loan from BayFirst you get the powerful backing of one of the nation’s top SBA lending divisions, fast access to your funds thanks to our Small Business Preferred Lender Program status, and the personal attention and guidance our experts provide at every turn.

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SBA 504 Loan FAQ

An SBA 504 loan is a long-term, fixed-rate financing option that helps small businesses acquire a major fixed assets like commercial real estate and large equipment. It is offered through the U.S. Small Business Administration (SBA) and designed to promote business growth and job creation.

SBA 504 loans can be used to finance the purchase, construction, renovation, or expansion of owner-occupied commercial real estate. Additionally, these loans can be used to acquire long-term, fixed assets such as machinery or equipment.

Benefits include low down payment requirements, long-term fixed-rate financing, and the ability to preserve working capital for other business needs. Additionally, these loans often feature lower interest rates compared to conventional financing options.

Generally, small businesses that meet the SBA's size standards, operate for profit, have a tangible net worth of less than $20 million, and an average net income of less than $6.5 million over the past two years are eligible for SBA 504 loans. Additionally, the project being financed must meet certain goals, such as job creation or retention.

Our lenders can walk you through the process, which involves completing a loan application, providing financial documents, and submitting a business plan outlining the project being financed. If you're ready, you can get started here.

SBA 504 loan rates are fixed, meaning they do not change over the term of the loan, and are often lower than conventional financing options. Loan terms can rage from 10 years for machinery and equipment to 25 years for commercial real estate loans. 

Loan repayment terms vary based on many factors. Borrowers with active 504 loans can make their payments through online banking, via phone, or in person at a banking center.
       
If you have a 504 loan with us and have questions about your terms, account balance or due date, give us a call. 
 

Yes, in some cases, existing debt may be eligible for refinancing with an SBA 504 loan. However, certain conditions must be met, so it’s best to talk to a lender first.

For qualifying energy projects, borrowers can receive a 504 loan for up to $5.5 million per project, for up to three projects not to exceed $16.5 million total.