Refinance Existing Debt

Dakota BUSINESS Finance offers an SBA 504 loan product that helps business refinance existing debt with long term, fixed interest rates.

Program Benefits:
  • Fixed interest rate for 10, 20, or 25 years    
  • Can lend up to 90% loan to value on projects 
  • If you elect to cash out, loan to value is limited to 85% 
    • Cash out is limited to 20% of the appraised value for eligible business expenses
To qualify for this program:  
  • 75% or more of the original loan must have been used to construct, purchase, or improve owner occupied real estate or equipment  
  • 25% or less of the project can be incurred for the benefit of the small business
  • 85% or more of the original loan must have been used to construct, purchase, or improve owner occupied real estate or equipment on debt refinancing with expansion projects
  • 15% or less of the project can be incurred for the benefit of the small business
  • Loan must have been in place for 6 months and can not have a late payment in the last 6 months
  • A “substantial benefit” test may be needed if the original loan is not on a balloon payment