The Small Business Administration provides a lot of different funding options for entrepreneurs. If a business is going to occupy at least 51% of the total leasable space, the owner can utilize the SBA 504 program to purchase commercial real estate. This allows for as little as 10% down payment. A conventional / traditional commercial real estate (CRE) loan requires 20-30% down. There is also private money available for investment purposes; however, this tends to more expensive than the other two options mentioned. I’m a big proponent of creative financing. Stay tuned for my upcoming book: MicroFin, Dispelling the myths of creative financing and low to no down payment real estate investing.
