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SBA 7a vs 504: Pick Wrong and Pay the Price Most borrowers ask, “What’s the interest rate?” when they should ask, “What can I actually use this loan for?” Because depending on your goal, choosing between a 7a and 504 could save you thousands in fees and months of delays. I recently worked with a contractor who wanted a 504 loan for “working capital.” Problem? 504 loans don’t cover that. They cover real estate and equipment. We pivoted to a 7a loan and secured funding to keep his projects moving.
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7(a), 504, and more! SBA loan programs like these can provide funding to help you grow your business. Find an SBA-approved lender using #LenderMatch: https://www.sba.gov/lendermatch | U.S. Small Business Administration
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