Pub. 2 2023 Issue 4

can yield higher returns for bankers, leading to a healthier bottom line. • Meeting Community Lending Goals: By assisting local small businesses, we strengthen our communities while retaining jobs. The SBA 504 Loan Refinance Program aligns perfectly with that goal. Now, to understand how the SBA 504 Loan Refinance Program works, let’s demystify it a bit. It’s essentially a two-party loan program involving the SBA with a certified development company (CDC) and a commercial lender. The SBA and CDC provide up to 40% of the loan amount, the bank partner offers up to 50%, and, typically, the remaining 10% can be sourced from the equity in the small business’s property. The loan is secured by the business’s real estate. Eligibility for the program is straightforward. The business must be for-profit and located in the U.S. The business needs to have been in operation for at least two years. The note to be refinanced must have been in place for six months, and 85% of the original proceeds need to have been used for 504 eligible costs. That includes the property and improvements made to it. Cash-out is allowed and cannot be more than 20% of the total project with a loan to value of 85%. Application is as simple as contacting a CDC. They will assess eligibility and guide businesses through the application process. By partnering with a CDC, you’ll be offering an invaluable service to your small business clients, helping them navigate financial uncertainty and setting them up for future growth. But it’s not just about serving your customers — it’s also about fostering relationships, enhancing your financial returns, and meeting your community lending goals. The SBA 504 Loan Refinance Program isn’t just a lifeline for businesses; it’s a testament to a collective commitment to fostering a robust and resilient small business community. Chris Myers is an accomplished executive, entrepreneur, and author, joining the team with over 10 years of experience starting and growing companies to scale. As B:Side’s Chief Executive Officer, Chris is an innovative pioneer, entrepreneurial enthusiast, and small business zealot. Ultimately, he ensures that the organization remains aligned with our mission to provide access to responsible capital for small businesses. B:Side Capital, a Certified Development Company (CDC), is a trusted provider of SBA 504 loans in Utah, Colorado, Arizona and New Mexico. Our team of seasoned professionals can help bankers assess their clients’ eligibility, navigate the application process and close the loan. Moreover, we offer resources to help bankers better understand SBA 504 loan programs. Visit www.bsidecapital.org to learn more. ONE LAST THING ... Did you know that you can enjoy your association news anytime, anywhere? Scan the QR code or visit: independent-report.thenewslinkgroup.org Check it out! The new online article build-outs allow you to: • Stay up to date with the latest association news • Share your favorite articles to social channels • Email articles to friends or colleagues There is still a flipping book for those of you who prefer swiping and a downloadable PDF. INDEPENDENT REPORT | 35

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