For many small business owners, growth is the goal—but accessing the capital needed to expand can be a major hurdle. Traditional financing isn’t always a perfect fit, especially for businesses looking to invest in real estate, heavy equipment, or large-scale renovations. That’s where SBA 504 loans come in. Designed specifically to support long-term investments, these loans offer an affordable, strategic option to help businesses scale. With guidance from an experienced SBA loan approver, companies can take full advantage of this unique financing tool.
What Makes SBA 504 Loans and an SBA Loan Approver Different?
SBA 504 loans are structured to support fixed-asset purchases. These include things like land, buildings, machinery, and major equipment. Unlike conventional loans, a 504 loan combines funding from a Certified Development Company (CDC) like MCDC, a private lender, and the borrower. Typically, the borrower contributes 10%, the lender 50%, and the CDC 40%. This setup reduces risk for lenders and makes it easier for businesses to qualify for significant funding at below-market, fixed interest rates. At MCDC, we’ve helped businesses across Michigan acquire the funding they need, from companies in the automotive industry to the health care industry.
Addressing a Real Financing Gap With an SBA Loan Approver
Only 48% of small businesses have their financing needs fully met, according to national data. That means more than half of small business owners may not be able to access the capital needed to grow. SBA 504 loans and an SBA loan approver help close that gap by offering long-term financing with terms up to 25 years, allowing businesses to improve cash flow while expanding operations. This type of loan is especially useful for companies looking to own their space rather than rent, or those in need of equipment that will support production for years to come.
The Importance of the Right Partner
Navigating the loan process can be complex, which is why working with a trusted SBA loan approver is so important. At MCDC, we specialize in helping businesses understand eligibility, prepare documentation, and move through the application process with confidence. Our goal is to simplify SBA financing so owners can focus on what matters most—growing their business.
If your company is ready to take the next step, an SBA 504 loan may be the solution you need. With support from an experienced SBA loan approver like MCDC, you can unlock new opportunities for expansion and long-term success. Reach out to our team today to get started with our services!