Program

SBA 504 Loan Program

Minimum/Maximum Amounts

Of Total Loan Request - 50% Bank, 10% Equity and 40% SBA - minimum $50,000 - maximum $1,500,000 (Maximum for Manufacturing is $4,000,000), 35% of project costs for start-ups.

Eligible Activities

Term & Amortization

Land & building - 20 years; machinery & equipment - 10 years.

Rate

Negotiated basis points above 5 year and 10 year US Treasury issues. Rate is fixed at date of debenture sale for term of the loan

Fees

1.5% of 504 loan plus legal and closing costs. Most fees are financed within 504 loan.

Special Notes

Eligible borrowers: Must be in business 2 years. Private, for profit manufacturing, industrial, commercial or retail businesses. Must be owner-occupants of the property being financed. 
Non-eligible businesses: media, restaurants, non-profits, lending & investment firms, religious bookstores and residential real estate.

Job Creation/Retention Requirements

1 job created for every $50,000 of proceeds (per $100,000 of proceeds for Manufacturing)

Where to Apply

Lehigh Valley Economic Development Corporation
2158 Avenue C
Bethlehem, PA 18017

Contact Person

Lehigh Valley Economic Development Corporation

610-266-6775

1-800-581-7483

Web link

www.lehighvalley.org

Application Download Available