The 504 Loan must be used for fixed asset projects such as:
Purchasing Existing Buildings
Purchasing Land and Land Improvements such as grading, street
improvements, utilities, parking lots, and landscaping
Construction
Modernizing, Renovating or Converting Existing Facilities
Purchasing Machinery and Equipment that will have a useful life of
at least 10 years
Financing a Construction Contingency Fund
Paying Professional Fees Directly Attributable to the project, such
as surveying, engineering, architect, appraisal, legal and accounting
fees
WARNING
The 504 Loan cannot be used for working capital or
inventory, short-term needs, consolidating or repaying debt,
refinancing, or financing a plant not located in the U.S.