504 Loan Program*
The 504 Loan Program* offers long-term, fixed rate financing for major fixed assets to help grow your business and create jobs.
KDM Financial, in conjunction with a CDC can offer loan amounts up to $10 million. Highly qualified borrowers may be eligible for a 504* blended rate program with CLTVs of up to 90%.
Eligible businesses for a 504 loan must:
- Operate as a for-profit company in the United States or its territories
- Have a tangible net worth of less than $15 million
- Have an average net income of less than $5 million after federal income taxes for the two years preceding your application
*For additional information on eligibility criteria and loan application requirements contact us or visit the SBA website directly at www.sba.gov/funding-programs/loans/504-loans
What can a 504 loan be used for?
The Purchase or Refinance of:
- New Building with up to 90% LTV
- Refinance Existing Building
- Long-term machinery and equipment financing
They can also be used for improvement or modernization of:
- Land, streets, utilities, and parking lots
- Improve the Façade of your Existing Builing
Cannot be used for:
- Working capital or inventory
- Consolidating, repaying or refinancing debt
- Speculation or investment in rental real estate
*504 loans are available only through Certified Development Companies (CDCs) and are certified and regulated by the SBA. While KDM Financial is not a CDC, we partner with them to help our potential borrowers utilize this program to bring down the overall cost of their loans.