To be eligible for a CDC/504 loan, your business must be operated for profit and fall within the size standards set by the SBA.  Under the 504 Program, a business qualifies as a small if it does not have tangible net worth in excess of $7.5 million and does not have an average net income in excess of $2.5 million after taxes for the preceding two years.  Loans cannot be made to businesses engaged in speculation or investment in rental real estate.​