In this article, you will learn that you can finance a golf course with an SBA 504 loan.

The golf industry is one of the most popular sports businesses in the world. It is a $76 billion industry with over two million people employed in the United States alone. 

Golf is played by millions of people of all ages and abilities, making it one of the most widely-played sports in the world.

The golf industry has seen some tough times in recent years, with many courses closing down in the past ten years due to the recession and then COVID-19. 

However, there are still plenty of opportunities for those looking to get into the business. One way to finance a golf course is through an SBA 504 loan. This type of loan can be used for the purchase, construction, or renovation of a golf course, and can be a great way to get the financing you need to get your business up and running.

This type of loan is specifically designed for businesses that are looking to purchase or improve real estate. The terms of the loan are very favorable, and you can often get up to ninety percent financing. This means that you would only need to come up with ten percent of the purchase price as a down payment.

The maximum loan amount for an SBA 504 loan is $5 million.

An SBA 504 loan can be used to expand or improve an existing golf course that you currently own. You may be able to get the money you need through an SBA 504 loan to buy more property and then perform any necessary renovations. 

As stated before, you can get up to $5 million that can be used to build the well-kept, expertly-designed golf course you desire and to purchase equipment such as golf carts, clubhouse furnishings, and more. Additionally, an SBA 504 loan could help you build a golf course in a country club you already own. 

To make sure that you can use a 504 for this purpose, you should consult an experienced commercial loan advisor.

If you want to buy an existing course that has closed down and give it new life, an SBA 504 loan might also be a fantastic alternative. This is especially true if you want to implement efficiency improvements that are good for the environment. 

In fact, you can be eligible for the SBA 504 green program if you can find the means to get at least ten percent of your energy from alternative sources or lower your course's energy consumption by ten percent. With a total loan cap of $16.5 million under this scheme, borrowers are allowed to take out larger $5.5 million loans for each project they are involved in (up to three).

If you have any questions or want to get the help of an experienced commercial loan advisor, click here to book a call.