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    0 Replies Latest reply on Mar 5, 2009 2:59 PM by viciscorp

    Can a start up business get both SBA 504 and 7(a)

    viciscorp Newbie
      We own a retail property in the heart of Hollywood, California (prime entertainment location) with roughly 3.5M conventional loan (1st TD lien) under a 8 members LLC name. Our tenant has been default on the lease and now two of our partners with 15 years restaurant/night club experience want to build a restaurant/night club. We are talking about doing a SBA 504 to pay-off the 1st mortgage of 3.5M plus additional 1.5M to do the improvement. However, we are still short of fund for the working capital and equipments. Is it possible to get both SBA 504 and 7(a) collateral on the real estate for a start up business in this current financial crisis condition? Property appraisal will not be a problem becasue the value is there even though market has been dropping. We are woking on the business plan so there is nothing for you to read yet. Just want to explore the possibilities!