Dupaco Community Earns SBA's 504 Iowa First Mortgage Lender Award
The SBA recently honored Dupaco Community Credit Union with its 504 First Mortgage Lender of the Year award for the state of Iowa.
The $838 million CU was a first mortgage lender on three 504 deals in Dubuque, Iowa in fiscal year 2009. Their share of financing accounted for over $849,000 but made available over $1.5 million in total project dollars, creating 14 new jobs and retaining eight others, according to the SBA. In addition, through other loan SBA loan programs, Dupaco approved 14 loans for $362,000.
SBA's 504 program is used to provide long-term fixed asset financing to small businesses. Under the program, lenders finance 50% of the cost and take a first mortgage position on the assets financed, while an SBA Certified Development Company finances 40% of the project and the small business owner provides a down-payment that can be as low as 10%.