504 lenders
Certified Development Companies (CDCs)
A CDC is the SBA-certified nonprofit that funds the debenture portion of a 504 loan. Here is what a CDC does, how the 50/40/10 structure runs through one, and every CDC in the SBA record, ranked by funded 504 volume since FY2010.
What a CDC is
A Certified Development Company is a nonprofit corporation certified and regulated by the SBA to promote economic development in its community, and specifically to originate and service the SBA-guaranteed debenture that sits at the center of every SBA 504 loan. A CDC is not a bank and does not take deposits. It exists to deliver the SBA's long-term, fixed-rate second-lien financing for owner-occupied commercial real estate and major equipment. Each CDC is certified for a defined geographic Area of Operations, which is why 504 lending is regional: the CDC that funds a deal in Florida is usually a different organization from the one that funds a deal in Oregon.
How the 50/40/10 structure runs through a CDC
A 504 project is funded in three pieces, and the CDC owns the middle one. A bank lends the first mortgage, the CDC lends the SBA-backed debenture, and the borrower covers the rest. The CDC packages the SBA piece, takes it through SBA approval, and services it for the life of the loan.
| Piece of the project | Share | Who funds it |
|---|---|---|
| First mortgage | ~50% | A bank or credit union, at a separately negotiated rate |
| SBA 504 debenture | ~40% | The CDC, at a fixed rate set when the debenture bond sells |
| Down payment | ~10% | The borrower (15% for a startup or special-use property; 20% if both) |
Only the CDC's debenture portion carries the quoted, fixed 504 rate. See how that rate is set and what it blends to on the 504 loan rates page, and the full mechanics in how 504 loans work.
How to choose a CDC
- Start with your state. A CDC is certified for a regional Area of Operations, so the shortlist is the CDCs that actually lend where your project is. Use the by-state index below.
- Weigh 504 track record, not marketing. The table below ranks each CDC by the number of 504 loans it has actually funded and the dollars behind them, computed from the SBA record. A CDC that funds hundreds of 504 loans a year in your state has done your deal before.
- Match the project type. Some CDCs skew toward owner-occupied real estate, others toward heavy equipment or manufacturing. Each CDC's profile page shows its industry and state mix.
- Fees do not vary by CDC. The SBA caps the CDC processing fee and sets the ongoing fees, so you are choosing on service and fit, not price.
The CDCs funding SBA 504 loans, ranked
The 188 CDCs with at least 10 funded 504 loans in the SBA record, ranked by 504 loan count. Counts and dollars are 504 debentures only, since FY2010. Click a CDC to see its full profile, or a column header to re-sort.
Charge-off is reported by the SBA on 7(a) loans only, never on 504 debentures, so no default rate is shown for CDCs; that would be data the record does not contain. 14 more CDCs funded fewer than 10 504 loans and are not ranked here, but each still has a lender profile.
CDCs by state
Each CDC grouped by the state where it has funded the most 504 loans. Many CDCs lend across several states, so a CDC serving your project may be based in a neighboring state; its profile page lists its full state footprint.
California (17)
- Mortgage Capital Development Corporation 5,420
- CDC Small Business Finance Corp. 5,090
- California Statewide Certified Development Corporation 2,730
- Business Finance Capital 2,708
- SBA CLSC Servicing 1,894
- Bay Area Employment Development Company 1,351
- Capital Access Group, Inc. 1,317
- Southland Economic Development Corporation 1,054
- AMPAC Tri-State CDC, Inc. 912
- Cen Cal Business Finance Group 892
- Greater Sacramento Certified Development Corporation 566
- Advantage Certified Development Corporation 386
- So Cal CDC 354
- Success Capital Expansion & Development Corporation 245
- Superior California Economic Development, Inc. 155
- San Fernando Valley Small Business Development Corporation 110
- Arcata Economic Development Corporation 56
Texas (17)
- Capital Certified Development Corporation 2,016
- North Texas Certified Development Corporation 795
- Greater East Texas Certified Development Company 714
- LiftFund, Inc. 713
- Texas Certified Development Company, Inc. 443
- Community Certified Development Corporation 350
- Alliance Lending Corporation 173
- Caprock Business Finance Corporation, Inc. 147
- Texas Panhandle Regional Development Corporation 103
- Houston-Galveston Area Local Development Corporation 79
- PeopleFund 73
- Southeast Texas Economic Development Foundation 56
- East Texas Regional Development Company, Inc. 55
- Lone Star State Capital Corporation 45
- Business and Community Lenders of Texas 44
- Brownsville Local Development Company, Inc. 40
- Ark-Tex Regional Development Company, Inc. 28
Ohio (10)
- Alloy Development Co., Inc. 775
- Growth Capital Corp. 604
- Ohio Statewide Development Corporation 474
- Community Capital Development Corporation 465
- Cascade Capital Corporation 227
- Northwest Ohio Development Assistance Corporation 130
- West Central Partnership, Inc. 125
- Valley Economic Development Partners, Inc. 122
- Citywide Small Business Development Corporation 119
- Mentor Economic Assistance Corporation 32
Missouri (10)
- Rural Missouri, Inc. 1,086
- St. Charles County Economic Development Council 507
- Heartland Business Capital, Inc. 305
- STL Partnership CDC 168
- Enterprise Development Corporation 102
- Clay/Platte Development Corporation 60
- Mo-Kan Development, Inc. 46
- St. Louis Local Development Company 38
- EDC Loan Corporation 34
- Economic Development Corporation of Jefferson County, MO 33
Pennsylvania (8)
- South Eastern Economic Development Company of Pennsylvania 489
- Regional Development Funding Corporation 326
- EDC Finance Corporation 176
- SEDA-COG Local Development Corporation 161
- NEPA Alliance Business Finance Corporation 157
- The Pennsylvania Community Development and Finance Corporation 80
- Northeastern Economic Development Company of PA-CDC, Inc. 66
- Altoona-Blair County Development Corporation 25
Georgia (7)
- Capital Partners Certified Development Company 720
- Small Business Access Partners, Inc. 561
- CSRA Local Development Corporation 418
- Georgia Certified Development Corporation 200
- Small Business Assistance Corporation 132
- Coastal Area District Development Authority, Inc. 127
- Southern Georgia Area Development Corporation 41
Massachusetts (6)
Illinois (5)
New York (5)
Minnesota (5)
Indiana (5)
Idaho (5)
Iowa (5)
Florida (4)
Colorado (4)
South Carolina (4)
Tennessee (4)
Oklahoma (4)
Washington (3)
Virginia (3)
Michigan (3)
New Jersey (3)
South Dakota (3)
North Dakota (3)
Puerto Rico (3)
Kentucky (3)
Kansas (3)
Louisiana (3)
Utah (2)
Wisconsin (2)
North Carolina (2)
Alabama (2)
Nebraska (2)
Connecticut (2)
Maryland (2)
Montana (2)
Oregon (2)
Mississippi (2)
Delaware (2)
Maine (2)
Arizona (1)
- Arizona Capital Source 1,011
Nevada (1)
Hawaii (1)
Rhode Island (1)
New Mexico (1)
Arkansas (1)
Wyoming (1)
New Hampshire (1)
Vermont (1)
Frequently asked questions
What is a Certified Development Company (CDC)?
A CDC is a nonprofit organization certified and regulated by the SBA to originate the SBA-backed debenture portion of a 504 loan. It is not a bank. In the public data, 202 CDCs have funded 116,345 SBA 504 loans totaling $96.7B since FY2010. The CDC handles the SBA second-lien piece of a project (about 40%); a bank funds the first mortgage.
Do I apply to a CDC or to a bank for a 504 loan?
Both are involved in every 504 loan. You can start with a CDC, which packages and services the SBA debenture and helps line up a bank for the first mortgage, or start with a bank that refers you to a CDC it works with. Because a CDC is certified for a regional Area of Operations, the practical first step is finding a CDC that lends in your state and knows your project type.
How many CDCs are there?
The SBA record shows 202 distinct CDCs that have funded at least one 504 loan since FY2010. This directory ranks the 188 of them with at least 10 funded 504 loans, a threshold that keeps the ranking to CDCs with a real track record; the rest still have their own profile page. The SBA authorizes a set number of CDCs nationally and can add or decertify them over time, so the active count changes.
Are CDC fees regulated by the SBA?
Yes. The one-time CDC processing fee is capped by SBA rule at 1.5% of the debenture, and the ongoing SBA guaranty and servicing fees are set by the SBA for each fiscal year, so they do not vary from one CDC to the next. See the current figures on the 504 loan rates page.
Find the CDC and bank to fund your 504 project
Get matched with the SBA lenders that actually fund businesses like yours, ranked on real loan data by state, industry, and size. Independent: your details go only to the lenders we match you to, never to data brokers.