The October 2022 SBA 504 debenture pricing was competed on October 6, 2022.
25 Year Term 6.44%
20 Year Term 6.36%
The SBA offers a 504 Loan with a 25-year maturity for the acquisition of owner-occupied commercial real estate and related costs. This is in addition to the 10 and 20 year loans currently available in the 504 Loan Program. Loans are typically eligible for up to 90% financing of project costs. Rates include monthly servicing fees to CDC, SBA, and central servicing agent; based on SBA FY23 fees. SBA 504 refi rates are approximately 3 basis points higher than debenture pricing noted above.
SomerCor Expanding to Serve Small Businesses in Southeast Wisconsin
SomerCor, an Illinois non-profit, Certified Development Company (CDC) licensed by the Small Business Administration (SBA) under the SBA 504 loan program, proudly announces it has been granted Local Economic Area (LEA) expansion authority to lend in Kenosha and Rock counties in Wisconsin. SomerCor is the only Illinois based CDC with LEA authority to lend in these select Wisconsin counties.
The SBA 504 loan program is an economic development initiative that helps small business owners buy, build, or refinance commercial real estate and fixed equipment with up to 90 percent financing. The program offers below-market, fixed interest rates for 10, 20, or 25 years, with the goal of enabling small businesses to create or retain jobs within their communities.
“This milestone is special as it coincides with SomerCor’s 30th anniversary of serving small businesses in partnership with banks, credit unions, and other lenders with the SBA 504 program,” said Manuel Flores, President and CEO of SomerCor. “The SBA 504 program has a long track record of success and is a helpful financing option for small businesses, especially in a higher interest rate environment. We look forward to developing new partnerships in Kenosha and Rock counties to promote economic development and small business growth in collaboration with local stakeholders.”
The expansion of SomerCor’s lending footprint into Wisconsin is part of the company’s strategic growth plan. Over the last three years, SomerCor increased its SBA 504 loan production by 183 percent. Since its founding in 1992, SomerCor has funded 2,500 loans with a total volume of $1.65 billion and assisted more than 3,600 businesses.
Most for-profit businesses in the U.S. are eligible for the SBA 504 Program. Contact SomerCor to speak to a loan officer and see if an SBA 504 loan is right for your project or small business client.
If you have small business clients in Cook County, the Cook County Small Business Source is a great free resource. In addition to providing business advising services, on October 3rd the Source launched the Grow Grant, which provides $10,000 grants to small businesses, prioritizing those owned by historically excluded populations and operating in sectors hard hit by the pandemic. A business is eligible to apply if it:
1. Is a for-profit business in Cook County, IL
2. Has less than 20 employees
3. Has operated and conducted business since March of 2020
4. Has experienced a negative financial impact due to the COVID-19 pandemic
Application Deadline: October 31, 2022
Learn more at cookcountysmallbiz.org/growgrant
