Small Business Administrative (SBA) 504 Loans

The SBA 504 loan program partners with your financial institution to create an attractive financing package to benefit your business. Working together with the SBA and our lending partners, we are able to provide growing businesses throughout Wisconsin with affordable, long-term, fixed-rate financing to expand operations and create job opportunities.

Low-Interest Rates - Competitive or below market rates
Fixed Rate - Your interest rate will never increase during the life of the loan
Long-Term Financing - 10, 20 and soon 25 year fully amortizing loans
Low Down Payment - Finance up 90% of your funding needs, saving your cash for other business growth
Partnership - The SBA loan can partner with other state and local programs

Eligible Use of Funds

  • Land acquisition and site improvements
  • Building purchase, expansion or renovation
  • Building construction
  • Equipment purchase and installation
  • Associated costs, such as title searches, appraisals, environmental reports, furniture, fixtures, etc.
  • Expenditures prior to loan approval can be included, as long as they are directly attributable to the project
  • Real estate and equipment refinancing



Approximately 2.7% administrative fees financed in the SBA loan amount
Approximately $2,500 in legal fees for the loan closing are financed in the SBA loan amount
No Application Fees
Out-of-pocket closing costs are the responsibility of the borrower
Participating financial institution is charged a 0.5% senior lien-holder fee

Loan Structure

Your Financial Institution typically provides 50% of the funding needed

The SBA 504 Loan provides up to 40% financing with a maximum dollar amount of: $5 Million; or $5.5 Million for most manufacturing companies or projects that meet SBA’s energy goals

The Business Owner typically provides 10% equity towards the total project cost.

An additional 5% equity is required for each of the following situations:

  • If the business has been operating less than two years since its first sale
  • If SBA is financing a single purpose building (gas station, hotels, etc.)

Key Qualifications

  • Completed Business Loan Application found at
  • Business Plan, if applicable
  • Resumes on all owners
  • Personal Financial Statements
  • Documentation on project costs, i.e. quotes on equipment, accepted offer to purchase, construction contract, etc.
  • Last three years of corporate financial statements
  • Recent year-to-date corporate financial statements with a prior year comparison
  • Financial projections, if needed, for next two years including Profit & Loss and Balance Sheets with detailed assumptions.
  • Accounts receivable and accounts payable aging reports
  • Corporate and Personal Federal Tax Returns for past three years
  • Information on any other businesses owned/partially owned or managed

Other Requirements

  • Appraisal
  • Environmental Assessment
  • Information on the applicants’ life insurance policies, if a collateral assignment is required