• The borrower shall advance payment equal to 10% or more of the Project Cost.
• The SBA loan is used to finance 40% of the project’s cost.
• The remaining 50% of the project’s cost is covered by a loan from a third-party lender.
• The SBA loan is often a 10- or 20-year fixed-rate loan, as opposed to the third-party loan, which is typically a 10-year fixed-rate loan. The borrower is required to repay both loans.