UCFC- Union Capital Finance Corporation | Loan Programs

The SBA loans are loans guaranteed by the U.S. government. The guaranteed amount can be as high as 90% of the loan amount. A typical SBA loan will allow the Applicant to borrow proceeds for the following:

Working Capital
Land and Building
Furniture, Fixtures and Signage
Closing Costs
Machinery and Equipment
Leasehold Improvements
Debt Refinancing
Deposits, Legal and Architect Fees

Under the SBA program we use the 504 plan, 7A plan or a combination of the two. The term length can be up to 10 years for lease location and build-out projects or up to 25 years for deals involving the purchase of land and a building. Interest rates are very competitive. The SBA loans do not have balloon payments and are fully amortized. Financing can be as high as 90% of the total project cost for lease and build-out projects. Financing can be an even higher percentage of the total project cost on SBA deals involving the purchase of land and a building.

The conventional loan is not guaranteed or backed by the U.S. Government. It has a fixed interest rate and collateral outside of the business is normally not required. The loan is designed to finance from 50% to 80% of the total project not including working capital or beginning inventory. The term length is normally for three to seven years with no balloon payment.