Small Business Administration 504 Loan Program

In 1982, the Middle Georgia Regional Development Center created the Development Corporation of Middle Georgia (DCMG) to promote economic growth in the region. In 2004, the DCMG changed their name to the Georgia Small Business Lender, Inc. (GSBL). The GSBL is a private nonprofit corporation. The corporation is a Certified Development Company (CDC) of the U.S. Small Business Administration. This certification allows the GSBL to make SBA 504 loans in the State of Georgia.

The Small Business Administration developed the 504 loan program to help small businesses in obtaining financing for hard assets (land, building, and equipment with a useful life of ten years or more). Under the program, a private sector lender lends the applicant up to 50% of the eligible project cost. The small business contributes at least 10% of the project cost (start-up businesses must contribute 15%, and single purpose facilities must contribute 20%). The borrower obtains the remaining 30% to 40% from the SBA. The interest rate on the SBA loan is fixed for the term of the loan, and depending on the collateral, the borrower has a choice of ten or twenty years for the term.

Business Eligibility »
Ineligible Businesses »
Eligible Project Costs »
Ineligible Project Costs »
Loan Amounts »
Terms of Loans »
Interest Rates »
Example of Loan Structure »
Collateral Required »
Required Information »