SBA 504 Program (South Dakota)
Last modified on February 12, 2015.
|Place|| South Dakota
|Name||SBA 504 Program (South Dakota)|
|Policy Category||Financial Incentive|
|Policy Type||Loan Program|
|Affected Technologies||Biomass/Biogas, Coal with CCS, Concentrating Solar Power, Energy Storage, Fuel Cells, Geothermal Electric, Hydroelectric, Hydroelectric (Small), Natural Gas, Nuclear, Solar Photovoltaics, Wind energy|
|Implementing Sector|| State/Province
|Primary Website|| http://www.sdreadytowork.com/Financing-Incentives/SBA-504.aspx
| Last Substantive Modification
The SBA 504 Program offers long-tem, fixed rate financing (10-20 years) at reasonable rates comparable to long-term U.S. Treasury bonds. Typically the 504 loan has a 50-40-10 structure where fifty percent (50%) of the project is financed by a regulated lender that receives a first mortgage position on all project collateral. The 40% is provided by the South Dakota Development Corporation and the remaining 10% is borrower equity. To qualify, the net worth of an eligible business may not exceed $7.5 million and its net profit after taxes must not have exceeded an average of $2.5 million during the previous two years.
|Contact Name||LaJena Gruis, 504 Loan Officer|
|Department||South Dakota Governor's Office of Economic Development|
|Address||711 E. Wells Avenue|
|Place||Pierre, South Dakota|
|Phone 2||(605) 773-3301|