25-YR FIXED RATE
5.86%
20-YR FIXED RATE
5.92%
10-YR FIXED RATE
5.65%
REFINANCE RATE
+0.0025%
empowering economic growth
504 loan program
NOVEMBER 2025
SBA 504 FIXED EFFECTIVE RATES
(monthly servicing fees included)
The November 2025 SBA 504 debenture pricing:
- Comparable Treasury Market Rate: 4.10%
- SBA 504 Debenture Rate (20-YR): 4.73%
- SBA 504 Debenture Rate (25-YR): 4.73%
- 20-Yr Debenture Pool: $15 million (22 loans)
- 25-Yr Debenture Pool: $419 million (393 loans)
Next pricing date is December 11, 2025
As the government shutdown continues, we want to assure you that Growth Corp remains fully operational and focused on supporting you and your borrowers. While SBA approvals are still temporarily paused, our team continues to process new applications internally, close previously approved loans, and provide guidance on all servicing matters. We’ve navigated shutdowns before, and we’re well-prepared to help you keep projects moving so they’re ready for immediate submission once SBA reopens.
What You Need to Know
Growth Corp’s Operations
- We are fully open and operational. There has been no pause in our ability to underwrite, internally approve, close, and service 504 loans.
- Our team is continuing to prepare loan packages so they’re ready for immediate submission once SBA resumes operations.
- We’re available to answer questions about new or existing projects…whether that is a question about structure/eligibility or an entire training session for your team.
SBA 504 Program Status
- Bank closings: During the shutdown, banks can close and fund their permanent first trust loan on permanent terms so long as the 504 portion being advanced is short term (preferably with a term of 3 years or less and interest only). Your bank can take additional collateral on the bridge loan provided it is released upon payoff from 504.
- Funding: Loans scheduled to fund in November and December are still on track, as SBA has committed to completing the debenture sales as scheduled.
- Expectations: We’ve continued to be proactive during the shutdown, which means we have an internal queue ready for immediate submission once the shutdown is over. As SBA processes the accumulated volume, a brief backlog is likely. However, completed applications that have Growth Corp’s internal approval will be well-positioned to move quicker through the system.
Why SBA 504 Is More Important Than Ever
- Supports Manufacturing Growth: Lower fees and updated eligibility provisions make it easier and more cost-effective for manufacturers to finance major equipment purchases or facility expansions at below-market, fixed interest rates.
- Protection for Lenders: The structure of 504 loans helps lenders mitigate risk, manage liquidity, and minimize industry concentration concerns while allowing them to generate fee and interest income from stable, long-term relationships with their customers.
- Stability for Borrowers: The 504’s low, long-term, fixed rates and lower down payments provide a more secure foundation for your clients during uncertain times
- Flexibility for New Construction: Recent improvements to 504 allow for an increase to contingency funds and more flexibility with do-it-yourself construction.
Our Commitment to You
- We’re Working for You: Our team is still hard at work—keeping projects moving and ensuring 504 projects are ready to move quickly once normal operations resume.
- We’re Committed to Excellence: We don’t take your trust lightly. We look for ways to say yes; to improve our process; to be a collaborative partner who works seamlessly with you and your clients; to be reliable, knowledgeable, and consistent with every interaction.
- You’ve Got an Entire Team on Your Side: At Growth Corp, you’ve got the power of an experienced team by your side. With experts dedicated to each phase of the process, you and your client will get customized service every step of the way.
Quick Links for Lenders
Interest Rate History
Loan Calculator
504 vs 7a
Quick Qualifiers
Forms
Recent News…
Current Economic Factors and SBA 504
Let's talk about the current economic factors impacting small and mid-sized business and why the SBA 504 Loan Program is a strategic tool for growth. High Interest Rate Environment Prime Rate and long-term treasury yields remain elevated due to ongoing...
The Strength of SBA 504
Amid the media storm surrounding ongoing government changes, we wanted to focus on the strength of SBA 504 lending. Overall, 504 loans are a great example of a public-private partnership...banks see a mitigation of risk and a host of other benefits, while growing...
Growth Corp has long participated in the VetLoan Advantage program. This initiative aims to increase access to the 504 Loan Program for our nation’s brave veterans. Ask about the special discounts we offer veterans…it’s Growth Corp’s way of giving back as we strive to meet the needs of veteran-owned businesses.
Project-Specific Solutions
EXPANSIONS
Equipment Purchases
Building Acquisitions
Land Purchases
New Construction
Leasehold Improvements
HOW THE 504 HELPS
Long-term fixed rates
Predictable payments
No future balloons
Low down payments
REFINANCING
Real Estate Loans
Lines of Credit
Consolidate Multiple Loans
Obtain Working Capital
Cash-Out Available
HOW THE 504 HELPS
Eliminates balloon payments
Fully amortized
Existing equity = down payment
Can provide a cash out option
GREEN ENERGY
New Builds w/ Sustainable Energy
Energy Efficient Upgrades
Energy Generating Equipment
Reduction of energy consumption by 10%
Increased use of sustainable design
HOW THE 504 HELPS
Removes $ limit on 504 portion
Borrowers can take multiple loans
Slashes the bank’s risk to 50%
Up to $5.5 million per project
Growth Corp is Your Partner!
We know the focus of commercial banking is to support the community and entrepreneurial sector. And so is ours! The 504 Loan Program is a partnership with banks that offers many benefits:
- Banks reduces their risk to 50%
- Banks gets first lien position on a 504 loan structure
- When clients are struggling with pending balloons, Growth Corp’s 504 offers refinancing options
- Banks can offer their clients a low, fixed rate product with a long loan term
- SBA lending helps Banks fulfill CRA, Rural and Public Policy goals
- Manages commercial real estate concentration issues
- Opens up lending availability
- Maximizes middle market lending
- High size limits and business size caps
- Preserves working capital, which keeps cash in deposit accounts
- Unique marketing opportunity
- Finances heavy machinery and equipment
- Attracts new borrowers
- We are your partner, not your competitor…you keep your clients
- The 504 Loan Program can be used multiple times
We are not your competitor…we’re your partner! As the largest 504 Lender in Illinois, we partner with hundreds of banks on commercial loans ranging from $200,000 to over $5 million. We’ll coordinate the entire 504 Loan process and work to ensure everything goes smoothly for your client.
Remember, SBA 504 Loans are offered in conjunction with local banks…not in competition with them.
fAQ’S
What are some key points for Lenders?
- Bank provides interim financing and sets the interim interest rate
- Bank’s term must be at least 10-years with Growth Corp’s 20- and 25-year bonds. And no less than 7 years with a 10-year bond
- Bank gets first lien position
- Advance is up to 95% of the appraised value on real estate – (5% variance)
- Bank is free to adjust the rate on the permanent loan at any time
- The economic life of the asset to be financed needs to meet or exceed the loan term.
- The size standards for businesses are: a tangible net worth of less than $15 million and profits (after taxes) of less than $5 million (including affiliates)
Can 504 Loans include soft costs?
Yes. Soft costs (e.g. appraisals, environmental, construction interest, closing costs, etc.) can be financed into the 504 loan, which allows small businesses to preserve working capital.
Who is eligible for the 504?
- Be operating a for-profit business
- Be organized as a corporation, sole proprietorship, partnership, LLC, etc.
- Be located in the U.S.
- Have a tangible net worth of less than $15 million and profit after taxes of less than $5 million (including affiliates)
- Have a successful track record and growth potential
- Occupy majority of project property (or owner-occupied property)
Projects that qualify must, according to SBA guidelines, promote economic development, which generally means the creation or retention of jobs. Overall, most small businesses will qualify!
What are the collateral requirements?
- The 504 loan is secured with a subordinate lien on all project assets.
- The 504 loan must have a security interest in all project assets.
- Existing liens are recognized for building expansions and renovations, but may also be refinanced with a 504.
- Personal guarantees of all principals owning more than 20% of the company are required.
- If the business is a start-up, or the asset being financed is considered single-purpose, or the credit is unusually risky, additional collateral may be required.
- Key man life insurance is typically required unless there is a strong management succession plan.
- Adequacy of collateral is a credit decision – additional collateral can be required by Growth Corp or SBA.
Now Available! Simultaneous Closings…
Growth Corp has expanded its service offering to be able to provide simultaneous closings between the bank’s financing and the 504 financing.
- Expedites funding
- Straight acquisitions or deft refi only
- 504 docs signed at bank closing
- Funding is the 7th of every month
A Sampling of Our 504 Projects
Growth Corp is the top CDC in Illinois, the largest 504 Lender in Chicago and a top ten 504 Lender Nationwide, but we're still just a small, focused team working together every day to make the 504 process the best it can be.
We know that when it comes to 504 loans, it's about much more than just getting an approval. It's the ease-of-mind that comes from knowing Growth Corp's team has their finger on the pulse of the process from application to funding and even beyond into long-term servicing. It's knowing you will be informed every step of the way by the point-person responsible for overseeing the closing of your loan. It's knowing that, given Growth Corp's extremely low turn-over, you'll have the same experienced team members continuing to serve you year-after-year.
SBA recognized Growth Corp as an Accredited Lender after a thorough review of its policies, procedures and prior performance. The prestigious ALP status grants Growth Corp increased authority to process and close 504 loans, which results in an expedited process for both borrowers and lending partners. In addition, under the ALP Express Program, Growth Corp has been granted the authority to approve, authorize, close and service SBA 504 loans of $500,000 or less.
Quality, accuracy and quick turn-around times are just some of the reasons why Growth Corp is the top CDC in Illinois, the largest 504 Lender in Chicago and a top ten 504 Lender nationwide. But, remember, we're just a small team working together every day to make the 504 Loan process the best it can be.
SBA 504 LOANS
How Will You Grow Your Business?
877-BEST 504
www.GrowthCorp.com
A Non-Profit Organization Focused Exclusively on Small Businesses
