SBA '504' Loans

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[FONT= &quot]The 504 loan is available but it’s more complicated (as usual!). The advantage, as you see from this article, is that using a 504 guaranty helps you spread out the business loan so you can use it for real estate, say over 25 years. That’s good. [/FONT]
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[FONT= &quot]However, quoting our web site “ [/FONT][FONT= &quot]504 Loans are typically structured with SBA providing 40% of the total project costs, a participating lender covering up to 50% of the total project costs, and the borrower contributing10% of the project costs.” [COLOR= #3f3f3f]504 loans are made available through Certified Development Companies (CDCs). [/COLOR][/FONT]
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[FONT= &quot]There is also a job creation requirement—typically one job for every [COLOR= #3f3f3f]$65,000 guaranteed by the SBA. [/COLOR][/FONT]
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[FONT= &quot]So, yes they exist but it’s not for everyone. [/FONT][FONT= &quot][/FONT]
 
I have just heard of a B&B that was bought with a local bank giving a residential loan for the building and an SBA loan for the business. Seems like that might be a good thing if a bank is willing to do it. Residential rates are lower than commercial, and usually fixed vs. variable.
 
We are on the site "B&Bs for sale dot com". I get an email every few days that something sold. I guess i will start following up and see if we can find out the method of financing.
 
We are on the site "B&Bs for sale dot com". I get an email every few days that something sold. I guess i will start following up and see if we can find out the method of financing..
toddburme said:
We are on the site "B&Bs for sale dot com". I get an email every few days that something sold. I guess i will start following up and see if we can find out the method of financing.
I was going to list with them http://www.bedandbreakfastforsale.com/ , but the lowest priced listing (which gives you virtually NO for sale info) is $180 for 6 months, and they don't include a LINK to your website! I inquired about this and was told "Do you want me to ask the owner for a discount for you?" which was quite rude. So I went to BnBfinder which is $75 for 6 mo's! http://www.bnbfinder.com/Bed-and-Breakfast-For-Sale/
Be aware that some that show SOLD on there are also listed on multiple websites, for example the B&BTeam listings, B&BTeam is the listing agent for them.
 
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