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  • Sba Form 2286

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U.S. Small Business Administration 504 DEBENTURE CLOSING CHECKLIST A. 504 Loan and Debenture Information 1. SBA Loan # 2. SBA Loan Name 3. Borrower 4. Operating Company 5. CDC Name and Number 6. Debenture.

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Unlike consumer mortgages that usually have 30 year terms, the repayment periods for the 504 program are typically for 10, 20 or 25 years.

Maximum SBA loan amount: Loans are generally capped at $5 million. Certain eligible energy-efficient or manufacturing projects may qualify for more than one 504 loan up to $5.5 million each. Interest rate: Below-market interest rates are fixed for the life of the loan.

If appraisal is less than 95% of the estimated value, then the SBA loan amount must be reduced, additional collateral secured or additional equity provided. If additional collateral or cash is not available, but cash flow coverage is strong and consistent, then SBA can be requested to approve the appraisal.

Closing Documents Borrowers Certification – (can be lenders or from SBA Authorization Boilerplate Appendix D) SBA Form 1050: Settlement Sheet (Use of Proceeds Certification) SBA Form 147: Note - 7(a) Loans. SBA Form 148: Unconditional Guarantee (if necessary)

Once the loan documents have been signed, the escrow officer delivers them back to the lender for review. When the lender is satisfied that all required documents have been signed and all outstanding loan conditions have been met, the lender will notify escrow that they are ready to disburse the loan funds to escrow.

Most 7(a) loans have a maximum loan amount of $5 million. However, SBA Express loans have a maximum loan amount of $500,000. SBA Export Express loans have a maximum loan amount of $500,000. The SBA's maximum exposure is $3.75 million ($4.5 million under the International Trade loan).

As we mentioned above, the owner occupancy requirement states that if you're using a SBA 504 loan to buy or renovate buildings, you must occupy at least 51% of the property. The remaining can be leased out to third parties. For new construction, the applicant must occupy at least 60% of the property.

SBA 504 LoanLoan sizeMinimum – $125,000 Maximum – $20 million +Interest rateFixedTerms25 years – real estate 20 years – real estate 10 years – equipmentDown Payment10% Borrower

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232