If you are a small or medium-sized business owner in the North Carolina region and have faced the prospect of high down payments and restrictive loan criteria, take heart. Carolina Business Capital can offer you an attractive real estate and equipment loan program.
504 vs. 7a
In a 504 loan, all project costs can be financed, including acquisition (land and building, land and construction of building, renovations, machinery and equipment) and soft costs such as title insurance, legal appraisal, environmental and bridge loan fees. Closing costs may be financed.
The 504 Loan Program allows business owners to leverage their investments, with financing up to 90% of the project cost. An additional 5% of equity may be required from the borrower if the building is considered for special use, or if the business is a new business. The borrower is required to occupy 51% of the building (60% in case of construction of a new building).