SBA 504 Loan Interest Rates

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September 2023

25-Year Fixed Rate Standard:

25-Year Fixed Rate Refinance:

20-Year Fixed Rate Standard:

20-Year Fixed Rate Refinance:

10-Year Fixed Rate Standard:

Estimated 10-Year Fixed Rate Refinance:

Official monthly SBA 504 effective interest rate tables can be found at Eagle Compliance LLC. 25- and 20-year term loans fund every month; 10-year term loans fund every other month. Effective interest rates are inclusive of servicing fees, which are subject to credit risk of the applicant.

SBA 504 Overview & Eligibility

Commercial Real Estate Loans. Machinery & Equipment Loans. Green Loans. Debt Refinancing. Up to 90% fixed interest rate financing.

The Small Business Administration (SBA) 504 Loan Program available through Florida First Capital/First Capital Finance provides affordable long-term capital for the purchase of capital assets, such as owner-occupied commercial real estate, energy efficient green projects and/or heavy duty machinery and equipment, without the high down payment requirements often associated with conventional financing programs. Borrowers can also get relief from high-interest commercial mortgage debt under the SBA’s 504 Debt Refinancing Program.

Loan Structure & Down Payment Schedule

The 504 Loan Program is a partnership program between Florida First Capital/First Capital Finance – a nonprofit SBA licensed and regulated Certified Development Company – and a commercial lender. Working with participating lenders, Florida First Capital/First Capital Finance provides up to 90% financing at below-market, fixed interest rates and long amortization terms for eligible fixed asset purchases.

Typically, a commercial lender provides financing for 50% of the 504 loan project and takes a first lien position; Florida First Capital/First Capital Finance/SBA provides 40% of the project financing and takes a second lien position; and the borrower provides a down payment of just 10%. There is no limit on overall project size. If a project is a start-up business (less than two years in operation) or a special purpose facility, the borrower’s down payment increases to 15%.

If a project is a special purpose facility and a start-up business, the borrower’s down payment increases to 20%. Machinery and equipment only loans may qualify with a 10% or 15% borrower down payment.


  • The business must fall within the size standards set by the SBA.
  • Owners must be U.S. citizens or registered aliens with green card.
  • The business must be operated for profit and located in or planning to locate in Alabama, Florida or Georgia.
  • The business must be a legal entity: corporation, partnership, sole proprietor or limited liability company.
  • The business’s tangible net worth cannot exceed $15 million.
  • The business’s average net income after Federal income taxes (excluding carry-over losses) for the two full fiscal years prior to application cannot exceed $5 million.
  • Loans cannot be made to businesses engaged in speculation or investment in rental real estate.

Explore Your Small Business Loan Possibilities