TALLAHASSEE, Fla.--(BUSINESS WIRE)-- The 20-year interest rate on U.S. Small Business Administration (SBA) “504” commercial real estate loans fell to an astounding 4.69 percent for September, marking the third lowest interest rate in 504 program history.

Additionally, the current 10-year interest rate for industrial machinery and equipment 504 loans is 3.755 percent, which is the second lowest on record. Both the 20- and 10-year SBA rates are fixed for the term of the 504 loan and require as little as a 10% down payment.

SBA 504 loans are paired with private-sector commercial loans, providing up to $5 million of small business financing for standard projects and up to $5.5 million for green initiative and small manufacturer projects (SBA loan portions only; there is no limit on overall project size).

Proceeds from 504 loans may be used for the purchase of fixed assets, including the purchase, construction, expansion or renovation of commercial property and/or the acquisition of industrial machinery and equipment or other fixed assets that have a useful life span of at least 10 years.

“This is tremendous news for small business owners looking to purchase or renovate commercial property, especially when commercial credit in general is currently difficult to obtain,” said Todd Kocourek, president and CEO of Florida First Capital Finance Corporation.

While 504 loan interest rates historically track below conventional rates, the low September rates are a rare opportunity for 504 borrowers.

“With such phenomenally low rates right now, small business owners will be hard pressed to find a better means for financing their growth,” said Kocourek.

Florida First Capital Finance Corporation is a non-profit certified development company that promotes economic development and job creation throughout Florida by working with the SBA and private-sector lenders to provide available and affordable financing to small businesses. Florida First Capital lends under the SBA 504 loan program as well as the State of Florida Recycling Loan Program and other small business assistance programs.

For information on SBA or State of Florida small business loans, call 888-320-5504, email info@ffcfc.com or visit www.ffcfc.com.

CONTACT:

Florida First Capital Finance Corporation
Dwight Sumners, 850-681-3601
Communications Director
E-mail: dwight@ffcfc.com

KEYWORDS:   United States  North America  Florida

INDUSTRY KEYWORDS:   Small Business  Professional Services  Accounting  Banking  Finance  Other Professional Services  Construction & Property  Commercial Building & Real Estate

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