Limited 504 debt refinancing implemented June 23, 2009

The SBA announced the ARRA 504 Debt Refinancing interim final rule in the June 23, 2009 Federal Register. It is a permanent change to the 504 program. A copy of the Federal Register Notice is attached. 

As per this interim final rule, SBA allows 504 loans to include a limited amount of debt refinancing for a business expansion.  The refinancing portion of the project may not exceed 50 percent of the project cost of the business expansion.  Guidelines are provided in the attached interim final rule.

SBA is accepting comments on the interim final rule until July 23, 2009.  Instructions for submitting comments are provided in the attached Federal Register Notice.