Usually it takes approximately 30 days from the time the completed loan application is received by RMI until SBA approval is obtained. Land previously acquired by the small concern may be contributed as the injection in a project involving new construction. The value of the contribution shall be the contributor's equity in such land. If the land was acquired within two years before the submission of application to SBA, it shall be valued at the lesser of cost or market. In addition to the appraisal a title report setting forth the purchase history of the land for the last five years must be submitted to SBA at the time of application.
Acquisition includes the cost of purchase, delivery and installation .
Where clear title is essential to obtain a first lien position for the first mortgage lender, SBA will allow the private sector lender to refinance the existing debt, including it in the first mortgage loan. It is not considered part of the 504 project but the SBA debenture will be subordinate to the total private sector loan. Management or Counseling fees . Working Capital . Furniture and equipment with life less than the maturity of the debenture unless it is an integral part of the project.