Thanks for Another Year of Making Dreams Come True

We wish to thank our clients and our lending partners for choosing Community Business Finance in 2018. For more than a decade, Community Business Finance, together with our lending partners, has proudly helped hundreds of businesses in Texas and Louisiana realize their dreams.

While we are honored to have helped so many businesses with start-up and expansion financing, ultimately our goal is for every business that is eligible for a 504 Loan to have access to a 504 Loan, when it best suits their business needs.

It Pays to Go Green with Energy Efficient Facilities

As temperatures rise, so does our energy consumption, which can make staying cool on the Gulf Coast a costly endeavor. Smart business owners find ways to reduce their company's energy consumption to lower operational expenses without impacting quality or productivity.

504 Loan Prepayment Penalty Explained

A common misconception about the 504 Loan Program is that the prepayment penalty is much higher than for conventional loans. The prepayment penalty is actually based on the loan's debenture rate and not the effective rate. We will explain the difference, as many borrowers are confused as to how the prepayment penalty is calculated. First, however, we want to address why the 504 Loan Program has a prepayment penalty.

Celebrating National Small Business Week

Since more than half of Americans either own or work for a small business, we celebrate America's small businesses and the big contributions they make in our local communities and to our national economy. Every year since 1963, National Small Business Week, April 29 – May 5, 2018, is our chance to salute the small business owners who create two out of every three jobs for Americans. Despite being the key to our nation's recovery after the recession, many small businesses cannot get the funding they need to expand their operations.

Thanks for Choosing Community Business Finance

We wish to thank our clients and our lending partners for choosing Community Business Finance in 2017. For more than a decade, Community Business Finance, together with our lending partners, has proudly helped hundreds of businesses borrow more than $200 million to expand their operations and create new jobs in Texas and Louisiana. While we are honored to have helped so many businesses realize their dreams, ultimately our goal is for every business that is eligible for a 504 Loan to have access to a 504 Loan, when it best suits their business needs.

Enjoy the Financial Benefits of Property Ownership

Community Business Finance recently helped a client in Louisiana purchase property with a 504 Loan. The commercial janitorial service was unfamiliar with the 504 Loan Program, however the proceeds enabled the owners to buy the building that they had been leasing for many years. With a 504 Loan, they were able to put only 10% down and are very happy with a 20-year fixed rate mortgage on the SBA's portion of the loan.

Say Yes to 504 Loans with Third-Party Interim Loans

Community Business Finance provides businesses with fixed-rate financing for major fixed assets such as office buildings, retail buildings, warehouse facilities, heavy equipment, and commercial vessels. Projects are typically financed with two loans: a first lien loan through a commercial lending partner for 50% of the project cost and a second lien loan for 30% - 40% of the project cost, financed by Community Business Finance through the sale of a debenture bond. The borrower provides up to a 20% down payment, but typically only 10%.

A Small Loan Makes a Big Impact: A 504 Loan in Action

The old adage "good things come in small packages" certainly applies to our recently closed loan for Perrier Esquerre Contractors LLC. The owners were renting a commercial space and wanted to purchase land and a larger building from which to operate their company. Community Business Finance was pleased to help this company obtain financing through the 504 Loan Program with a total project cost of less than $350,000. In fact, the SBA portion of the loan was less than $150,000, much lower than most home mortgages these days.

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