13 CFR 120.884 - Ineligible costs for 504 loans.
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Costs not directly attributable and necessary for the Project may not be paid with proceeds of the 504 loan. These include, but are not limited to, the following:
(a) Debt refinancing (other than interim financing), except as provided in§ 120.882(e) and (g).
(b) A CDC may not use 504 loan proceeds to pay any creditor in a position to sustain a loss causing a shift to SBA of all or part of a potential loss from an existing debt.
(c) Third-Party Loan fees (commitment, broker, finders, origination, processing fees of permanent financing).
(1) Short-term equipment, furniture, and furnishings (unless essential to and a minor portion of the Project);
(3) Construction equipment (except for heavy duty construction equipment integral to a business' operations andmeeting the IRS definition of capital equipment).
Title 13 published on 2015-01-01.
No entries appear in the Federal Register after this date, for 13 CFR Part 120.