SBA 504 Interest Rates | May 2024 | 10 Yr:  6.908%, 20 Yr: 6.656%, 25 Yr: 6.555% *rates may vary Learn More »

Getting More Financial Freedom for Your Business

Jul 5, 2022

Do you find yourselves feeling overwhelmed or restricted by company’s finances?

Do you know the best next step for your business but find that your existing debt is preventing you from moving forward? Do you wish you had more financial freedom to grow?

Achieving financial freedom can be done in a variety of ways – strict budgeting, eliminating unnecessary costs, and increasing efficiencies, just to name a few. We’re here to tell you about our personal favorite, the SBA 504 Debt Refinancing program, and how it can give you the cash flow need you to succeed.

The SBA 504 Debt Refinancing program is a long-term, fixed-rate financing option for small businesses. It offers refinancing for existing real estate and equipment debt at a fixed, below-market interest rate and up to a 25-year term, savings businesses thousands of dollars in the long-run. If your existing debt and loan payments are holding you back from growth opportunities, this program may be the next step towards achieving that freedom you’ve been looking for.

  1. Lower your monthly payments with low interest rates– Perhaps one of the biggest advantages of the SBA 504 Debt Refinancing program is that it allows businesses to refinance their higher interest loans at a lower interest rate. These rates are below-market and remain fixed for the 10, 20, or 25-year life of the loan. Instead of spending hundreds of dollars a month on interest expenses, you’ll have more cash to use for day-to-day business operations.
  2. Stretch out your balloon payment – Many traditional loan programs require a balloon payment, or a larger lump-sum due at the end of the term, which can be a financial burden for many businesses. The SBA 504 Debt Refinancing program allows you to refinance loans that are close to maturity and stretch out the payments over a longer period of time…helping you to keep more money in your pockets at the end of your loan.
  3. Get cash out for business operations and expansion – Through the SBA 504 Debt Refinancing program, you can refinance the the remaining balance on your existing commercial real estate debt and cash out part of your equity for business operating expenses. This gives you extra cash on hand for expense during the next 18 months, which can be used for business operations, expansions, or unforeseen circumstances and emergencies.

Don’t let your existing debt restrict you from moving forward and growing your business.  The long-term benefits of the SBA 504 Debt Refinancing program allow you to get a better handle on your monthly cash flow and have more financial freedom to grow your business in the areas that need it most.

For more information about this program, visit our SBA 504 Debt Refinancing webpage or contact a loan officer in your area.