Glossary · The loan itself
In short
A different SBA loan program primarily for long-term, fixed-asset financing, like real estate or heavy machinery. It's not typically used for business acquisitions with working capital needs.
The SBA 504 program involves a bank loan, a loan from a Certified Development Company (CDC), and your equity. While great for owner-occupied commercial real estate, it's distinct from a 7(a) loan, which is the standard for most small business acquisitions. Focus on the 7(a) for buying a business.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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