; Adam Bello, County Executive

Purchasing or Constructing a Building

Monroe County has multiple programs to help local companies grow.

SBA 504 Loan Program

The SBA 504 Loan Program provides long-term financing for the purchase of land, buildings and equipment at a fixed-rate of interest.

Funding for SBA 504 loans is provided through a partnership between the SBA and a private sector lender such as a bank.

Under a typical SBA 504 scenario:

  • 50% of the financing for the project is provided by a bank at rate determined by the bank
  • 40% is provided by the SBA through the Monroe County Industrial Development Corporation (MCIDC) in the form of a fixed-rate SBA guaranteed debenture
  • 10% in equity is provided by the business.

The SBA can guarantee payment of debentures for as little as $50,000 and up to $5,500,000 (for qualified manufacturing projects.)

Documents Required to Apply:

  • Description of project to be financed
  • Last three years financial statements, including corporate federal tax returns
  • Interim financial statement within 60 days of application
  • Accounts receivable and accounts payable aging within 60 days of application
  • Two years of projected balance sheet and income statement with assumptions
  • Personal financial statement and federal tax returns for the last year of any shareholder with 20% or more ownership


Sample SBA 504 Project

Use of Proceeds

Land Purchase                                                                $100,000

Building Construction                                                    $400,000

Equipment                                                                                      0

Soft Costs                                                                                        0

Total Project Cost                                                           $500,000


Source of Funds

Bank                      50%           1st Mortgage                   $250,000

SBA                        40%           2nd Mortgage                  $200,000

Equity                   10%                                                        $50,000

Other                    0%            3rd Mortgage                                   0

Total                                                                                  $500,000


*SBA Fees

Net Proceeds                                                                    $200,000

CDC Processing Fee (1.5%)                                                 $3,000

Closing Costs                                                                         $2,500

Reserve Fee (0.5%)                                                              $1,000

Funding Fee (0.25%)                                                               $500

Subtotal                                                                            $207,000

Underwriting Fee (0.4%)                                                        $832

Total                                                                                   $207,832

Gross Debenture (rounded up)                                    $208,000


*Fees subject to change.

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