The SBA 504 Loan is a financing program offered by the Small Business Administration designed to help small businesses acquire fixed assets, such as real estate or equipment. This loan typically covers up to 90% of the total project cost, allowing businesses to invest in growth without a large upfront capital requirement. The SBA 504 Loan involves two lenders: a Certified Development Company (CDC) that provides a long-term, fixed-rate loan for up to 40% of the project cost, and a private lender that covers the remaining amount. This structure helps small businesses secure affordable financing while promoting economic development.