The Small Business Administration (SBA) 504 program is a powerful tool for Utah business owners looking to acquire or expand their commercial real estate. The program provides long-term, fixed-rate financing for the purchase of real estate and equipment, making it an ideal option for businesses in Utah that are looking to invest in their future.
The SBA 504 program is designed to encourage economic development in the United States by providing small business owners with the capital they need to invest in their businesses. Utah business owners can use the program to finance the purchase of commercial real estate, including land and buildings, as well as the purchase of long-term machinery and equipment.
The SBA 504 program is unique in that it provides small business owners with long-term, fixed-rate financing. This means that the interest rate on the loan is fixed for the entire term of the loan, which can be up to 25 years. This provides Utah business owners with certainty and stability, making it easier for them to plan for the future and invest in their businesses.
In addition to the long-term, fixed-rate financing, the SBA 504 program also requires a smaller down payment than traditional commercial real estate financing. This makes it easier for Utah business owners to access the capital they need to acquire or expand their commercial real estate.
Another benefit of the SBA 504 program is that it can be used in conjunction with other financing options. Utah business owners can use the program to finance up to 50% of the total project cost, with the remaining financing coming from other sources, such as a conventional loan or a business line of credit.
The SBA 504 program is available to Utah businesses that meet certain eligibility requirements. To qualify, a business must be a for-profit entity, have a tangible net worth of less than $15 million, and have an average net income of less than $5 million over the last two years. In addition, the project being financed must be for the use of the small business, and the business must occupy at least 51% of the commercial real estate being financed.
In Utah, the SBA 504 program is facilitated by Wasatch Business Finance, a non-profit organization (Certified Development Company) that works to promote economic development by providing financing to small businesses. Wasatch Business Finance has a team of experienced professionals who work with Utah business owners to help them access the capital they need to grow their businesses.
The SBA 504 program is a powerful tool for Utah business owners looking to acquire or expand their commercial real estate. The program provides long-term, fixed-rate financing with a smaller down payment than traditional financing options, making it easier for Utah business owners to access the capital they need to invest in their businesses. With the help of Wasatch Business Finance, Utah business owners can take advantage of the SBA 504 program to invest in their future and achieve their business goals.
Contact Wasatch Business Finance at 385-799-6700 or visit www.wasatchcdc.com for more information.