Building Connections

One Loan At A Time

Providing Financial Resources To Spur Economic Development

As one of four SBA Certified Development Companies in Alabama, Birmingham City Wide (doing business as FoundationCapital) partners with the U.S. Small Business Administration and private financial institutions to originate loans for small businesses.

We join forces with our lender partners to help business clients get the capital they need to fund their long-term goals. Through our partnerships, we help businesses secure financing at favorable terms.



Bob Dickerson,
CEO of Birmingham City Wide dba FoundationCapital

Eligibility Requirements Overview

SBA 504 loans of up to $5 Million in most industries are available to small businesses. The SBA 504 loan is provided by an SBA-licensed Certified Development Company (CDC).

Applicant Criteria
The business must be an active US-based, for-profit company (corporation, partnership, sole proprietor, or limited liability company).
SBA Size Standards
The business must have a tangible net worth of less than $15 Million and less than $5 Million average net income in the preceding two years.
Eligible Use of Loan
The 504 loan may be used to purchase land or buildings, pay for new construction, make renovations, and to buy machinery and equipment.
Occupancy Requirements
If the loan is used for a facility, the owner must occupy at least 51% of rentable space of existing building and 60% of rentable space if it is new construction.
Equity Injection
The owner's equity injection can be as low as 10% in most cases.
Additional Requirements
Depending on your situation, the eligibility requirements may differ. Contact us for a custom evaluation. We'll cover all the details.
Our Team Has The Expertise You Need.

We are available to answer your questions so you can make the best commercial financing decision for your business.

When Will My SBA 504 Loan Be Approved?

Generally, it takes at least four weeks to get your SBA 504 loan approved. It can take longer depending on the complexity of your loan, the accuracy of your documentation, and whether new construction is required for your project.

Can I use an SBA 504 Loan To Refinance?

Yes, in certain circumstances. When refinancing only long-term fixed asset debt, the maximum loan to value (LTV) is 90%. If the project includes cash out for eligible business expenses, the maximum LTV is 85% (a maximum of 20% may be used for eligible expenses). Other restrictions apply.

How will the interest rate be determined?

The loan rate is determined by the current market rate for government guaranteed securities. The rate is fixed for the term of the SBA/FoundationCapital loan.  Generally, the rule of thumb in projecting a rate is the 10 year Treasury rate plus 210 basis points.  Market rates are allowed on the private lending portion (50% of project).