What is a CDC (Certified Development Company) and What Do They Do?
Updated: Apr 11
If you are a small business owner in Utah and are looking for funding options, you may have heard about Certified Development Companies or CDCs. CDCs are private, non-profit corporations that are certified by the Small Business Administration (SBA) to provide financing to small businesses. What is a Certified Development Company (CDC)? Certified Development Companies or CDCs are non-profit corporations that are certified by the Small Business Administration (SBA) to provide financing to small businesses. CDCs work with the SBA to provide loans that are partially guaranteed by the SBA. CDCs are designed to help small businesses that may not qualify for traditional bank loans or other financing options. How do CDCs work? CDCs work by providing financing to small businesses through the SBA 504 loan program. The SBA 504 loan program is a long-term, fixed-rate financing option designed to help small businesses purchase fixed assets such as real estate and equipment. CDCs provide up to 40% of the financing for a project, while a bank or other lender provides up to 50%, and the borrower provides the remaining 10%. The SBA guarantees a portion of the loan provided by the CDC, which allows the CDC to provide financing to small businesses at a lower interest rate. Why is Wasatch Business Finance the best CDC choice for Utah business owners? Wasatch Business Finance is the best CDC choice for Utah business owners for several reasons:
Local expertise: Wasatch Business Finance is a Utah-based CDC with extensive knowledge of the local business environment. This means that they are better equipped to understand the unique needs of Utah businesses and can provide customized financing solutions that meet those needs.
Fast approval process: Wasatch Business Finance has a streamlined approval process that allows them to approve loans quickly. This means that Utah business owners can get the financing they need in a timely manner.
Fixed interest rates: Wasatch Business Finance offers fixed interest rates on their loans, which means that Utah business owners can save money over the life of their loan.
Personalized service: Wasatch Business Finance provides personalized service to their clients. This means that Utah business owners can work with a dedicated loan officer who will guide them through the entire loan process and provide ongoing support.
CDCs are a valuable financing option for small businesses in Utah. Wasatch Business Finance is the best CDC choice for Utah business owners due to their local expertise, fast approval process, competitive interest rates, and personalized service. If you are a Utah business owner in need of financing, contact Wasatch Business Finance today at 385-799-6700 of visit www.wasatchcdc.com