Community Business Finance's mission is to encourage economic development throughout Texas and Louisiana. As part of this mission, we are dedicated to borrower education on our 504 Loan Program.
Your 504 loan will go through four stages during the loan process. Community Business Finance will navigate the entire process, from application through final funding, to make it as easy as possible for you. Today we will explain Step 4: Final Funding as part of a four-part series.
Step 4: Final Funding
The last part of the 504 loan process is final funding. After you have moved into your building, or taken ownership of your equipment, Community Business Finance submits your loan documents to the SBA for funding.
Your loan is then pooled with other 504 loans from across the country and funded via the sale of a federally insured bond to private investors. Your interest rate is "locked in" at this time based on current market conditions. You can review the current debenture rates on our website.
Next, your bank bridge loan is paid off with the proceeds from the bond sale and replaced with your permanent SBA 504 loan. You can learn more about bridge loans in Step 2: Initial Funding or Bridge Financing and the 504 Loan Program on our blog.
You will receive your loan payment schedule approximately one week before your first payment is due. Your payment must always be made on the first day of the month.
Are you worried that this whole process takes too long? Don't be. The approval process is usually about 10 days, and Community Business Finance has the expertise to ensure that final funding will be as smooth as possible.
Contact Community Business Finance today to see why our 504 Loan Program is the right choice for your business financing, and why we are the right lending partner to build your business dreams.
To Get Started fill out a short online form and a loan expert will contact you.
You can also contact our offices:
In Texas call Bill Ebersole at 713-457-1650, ext. 201, or email him at email@example.com.
In Louisiana, call Jeanne Bergeron at 1-800-462-1017 or email her at firstname.lastname@example.org.