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Foundation Rolling (Quarterly) Small Business GrantsGrants for Startups
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Funding Amount

$500 - $5,000,000

Deadline

Rolling / Open

Grant Type

foundation

Overview

SBA 504 Loan Program

Overview: The SBA 504 Loan Program is designed to help small business owners acquire fixed assets — commercial real estate and/or long-life machinery and equipment — without the financial hassles and high cash outlay requirements often associated with conventional financing programs.

Program Highlights:

  • Up to 90% commercial financing at below-market, fixed interest rates

  • Low down payment (usually 10%) preserves working capital

  • Long amortization terms (up to 20 years on real estate and 10 years on equipment)

    • Loan Structure:

  • Commercial bank provides financing for 50% of the project (first lien position)

  • PADD delivers up to 40% of the project financing/SBA portion (second lien position)

  • Small business owner provides down payment of 10% (or up to 20% equity for start-ups or special-purpose structures)

    • Eligible Uses of Proceeds:

  • Purchase, construction, expansion, or renovation of commercial real estate

  • Acquisition and installation of long-life machinery and equipment

  • Green initiative projects (sustainable design, reduced energy consumption, renewable energy or fuels)

  • Purchase of furniture, fixtures, and equipment

  • Associated and soft costs (attorney's fees, architectural, engineering, surveys, etc.)

  • Debt refinancing

    • Borrower Injection Requirements:

  • 10% in most cases

  • 15% for start-up businesses (less than two years in operation) OR special-purpose properties and real estate

  • 20% if the project is a start-up AND special-purpose property

  • Equipment-only loans may qualify with 10% or 15% injections

    • Geographic Scope: Purchase Area Development District (8-county region in far western Kentucky)

    Contact Information:

  • Phone: 270.247.7171

  • Email: Available on website

  • Address: 1002 Medical Dr / PO Box 588, Mayfield, Kentucky 42066

    • Focus Areas & Funding Uses

    Fields of Work

    small-businessesstartups

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