Top 10 Features of Our Website

The celebration continues for Community Business Finance's 10th anniversary. As our mission is to promote job creation in our communities by providing the best available financing terms to the businesses we serve, we are dedicated to lender and borrower education. Therefore, our website features easier and faster access to the information you need about our 504 Loan Program.

The Importance of the 504 Loan Program

Last week we discussed the importance of the SBA Guaranteed Loan Programs in light of the recent 7(a) funding crisis. Without access to 7(a) loans, many small businesses would be simply unable to find suitable financing. There are some valuable lessons to be learned from this latest emergency.

The 7(a) Loan Program is Back in Business

Good news for SBA lenders and borrowers– the SBA 7(a) Loan Program is back in business. On July 23rd the program reached its loan guaranty limit of $18.75 billion. Lending was suspended until the new fiscal year begins on October 1st. Applications were put on a wait list for approval until funds were available again. Fortunately, Congress voted to raise the cap on 7(a) loans by $4.75 billion to $23.5 billion, which President Obama signed into law on July 28th.

Get Organized for an SBA Loan

Community Business Finance has helped over 200 small businesses acquire the financing they need through SBA loans. SBA loan programs can provide funds for working capital, buying commercial property, financing a start-up venture, and purchasing new machinery or equipment, including commercial vessels and mobile cranes.

Exposing the Myth: SBA 504 Loans Have Too Much Paperwork

When you think of government agencies, such as the SBA, you probably imagine mountains of paperwork. In fact, many lenders actively avoid promoting 504 loans from fear of endless forms. You should know that the SBA has taken great strides in reducing the number of forms needed to apply for a loan.

Exposing the Myth: Loans Have Too Many Fees

Just like the myths that 504 loans have too much paperwork and take too long to process, you have probably heard that 504 loans have too many fees. This myth most likely originated from the 7(a) program's tiered fee structure and has been applied to all SBA loan programs. Let's examine the facts about 504 loan fees.

Exposing the Myth: 504 Loans Take Too Long

There is a prevailing myth that an SBA 504 loan takes too long to prepare and process. While it is true that in the past the SBA was bogged down with laborious paperwork and sluggish processes, many things have changed. The SBA has worked intently to speed up their processing times and reduce their paperwork. The agency has invested in the technology to become more efficient and responsive. They really do want to make it easier to provide borrowers with the capital they need to promote economic growth.

Exposing the Myth: SBA 504 Loans Have Too Many Fees

Just like the myths that SBA 504 loans have too much paperwork and take too long to process, you have probably heard that 504 loans have too many fees. This myth most likely originated from the 7(a) program's tiered fee structure and has been applied to all SBA loan programs. Let's examine the facts about 504 loan fees.

Exposing the Myth: SBA 504 Loans Have Too Much Paperwork

When you think of government agencies, such as the SBA, you probably imagine mountains of paperwork. In fact, many lenders actively avoid promoting SBA 504 loans from fear of endless forms. Fear not! The SBA has taken great strides in reducing the number of forms needed to apply for a loan.

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