Illinois Business Financial Services
Illinois Business Financial Services is a privately-held SBA Certified Development Company founded in 1981, headquartered in Peoria, Illinois, that originates SBA 504 loans providing up to 90% fixed-rate financing for Illinois, Indiana, and Utah small businesses through a 56+ partner-bank referral network.
- Company typePrivate
- Founded1981
- HeadquartersPeoria, United States
- Headcount11–50
- GTM typeB2B
- OfferingServices
What Illinois Business Financial Services does
Illinois Business Financial Services (IBFS) is a privately-held Certified Development Company (CDC) founded in 1981 and headquartered at 456 Fulton Street, Peoria, Illinois. The company operates under a regulatory license from the U.S. Small Business Administration to originate SBA 504 loans — a federal program that provides up to 90% financing for fixed-asset purchases (commercial real estate, heavy equipment, leasehold improvements) at below-market fixed rates over 10-, 20-, or 25-year terms. IBFS contributes up to 40% of total project cost in a second-mortgage position alongside a 50% first-mortgage from a partner bank and a minimum 10% borrower equity injection.
The business model is fee-based transaction revenue plus recurring portfolio servicing: IBFS charges a 2.15% origination fee on its financing portion, plus ancillary legal review ($650–$1,000) and title/closing fees, while also retaining servicing rights on every loan it originates, generating long-duration residuals over the loan's life. Customer acquisition is conducted entirely through a referral channel model — over 56 partner banks across Illinois (54 banks including Fifth Third and Busey), Indiana (Providence Bank), and Utah (Zions Bank) route small-business borrowers to IBFS for the 504 portion of their financing. The company does not operate self-service channels and runs on a remarkably lean operating footprint of two publicly identified staff (Senior Credit Analyst & Underwriter and Portfolio Manager).
The product suite consists of three offerings: the core SBA 504 Loan Program, the SBA 504 Loan Refinancing product (allowing up to 20% cash-out for working capital), and Alternative Financing Solutions for borrowers who do not meet SBA 504 eligibility. IBFS serves Illinois small businesses across diverse industries — bakeries, printing, meat packing, interior design, hospitality, sports/recreation, retail fuel, construction materials, veterinary, automotive services, and restaurants — with named borrower cases concentrated in the Peoria and central-Illinois corridor. As an SBA-regulated CDC, IBFS does not own proprietary lending technology; the entire loan lifecycle (packaging, processing, closing, servicing) is operated through standard SBA workflows by the internal team.
Illinois Business Financial Services firmographics
Firmographics- Name
- Illinois Business Financial Services
- Legal name
- Illinois Business Financial Services
- Website
- https://ibfs.org
- Company type
- Private
- Founded year
- 1981
- Operating status
- Operating
- Headcount range
- 11–50 employees
- Short description
- Illinois Business Financial Services is a privately-held SBA Certified Development Company founded in 1981, headquartered in Peoria, Illinois, that originates SBA 504 loans providing up to 90% fixed-rate financing for Illinois, Indiana, and Utah small businesses through a 56+ partner-bank referral network.
- Ownership category
- akta.pro rank
Illinois Business Financial Services industry classification
Industry- Product category
- Small Business Lending (SBA 504 Financing)
- NAICS
- Credit Intermediation and Related Activities (522), Mortgage and Nonmortgage Loan Brokers (52231)
- SIC
- Mortgage Bankers & Loan Correspondents (6162)
- akta.pro primary industry
- SBA/Government-Backed & Development Finance Loans (FSAKAGAI)
- akta.pro secondary industry
- SBA/USDA Government-Backed Loan Intermediation (FSAEAEAI)
Keywords
Where Illinois Business Financial Services is headquartered
LocationHeadquarters
- HQ city
- Peoria
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
Illinois Business Financial Services business model
Business model- GTM type
- B2B
- Offering type
- Services
- Cost components
- Personnel, Operations, Marketing or Sales, Infrastructure, Others
Revenue model
- SBA 504 Loan Fees: IBFS charges loan fees of 2.15% of the financing portion provided by IBFS. Additional revenue comes from associated loan costs including legal review ($650-$1,000), title insurance, and typical real estate closing costs, all of which can be financed as part of the loan.
- Loan Servicing: IBFS provides ongoing loan servicing for SBA 504 loans, generating recurring revenue from the managed loan portfolio.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Transaction based/ take rate | Multi-year contract | SBA 504 Loan - Standard |
| Other | Multi-year contract | June 2026 Fixed Rates |
Go-to-market motion2 records
Distribution channels2 records
Marketing channels6 records
Illinois Business Financial Services product offering
Product offeringCore offering
IBFS is an SBA Certified Development Company (CDC) that delivers SBA 504 loan packaging, processing, closing, and servicing for Illinois small businesses seeking fixed-asset financing. It provides up to 90% project financing for commercial real estate and capital equipment purchases at below-market fixed rates over 10, 20, or 25-year terms, and offers alternative financing solutions when SBA 504 eligibility is not met. The company also provides SBA 504 loan refinancing for existing commercial debt.
Product overview
Illinois Business Financial Services operates as a Certified Development Company (CDC) offering a unified lending platform centered on the SBA 504 Loan Program. The core offering consists of two interconnected loan products: the SBA 504 Loan Program (for acquiring commercial real estate and capital equipment) and the SBA 504 Loan Refinancing program (for refinancing existing debt). When borrowers do not qualify for SBA 504 loans, IBFS provides Alternative Financing Solutions as an alternative pathway. The company does not offer modular or tiered software products; instead, it delivers loan packaging, processing, closing, and servicing services directly to small business borrowers in Illinois.
Differentiator
Problem solved
Functional benefit
Products and services
- SBA 504 Loan Program The SBA 504 Loan Program provides up to 90% financing for small businesses to purchase commercial real estate or capital equipment. Loans are structured over 10, 20, or 25-year terms at below-market fixed rates, with IBFS providing up to 40% of total project cost as a second mortgage position. Aimed at Illinois small businesses that would otherwise face high equity requirements from conventional lenders.
- SBA 504 Loan Refinancing The SBA 504 Loan Refinancing program allows small businesses to refinance existing commercial real estate debt at below-market fixed rates, with the option to cash out up to 20% of property value for working capital needs. Intended for Illinois small business owners with existing conventionally financed commercial mortgages seeking to reduce rates or access equity.
- Alternative Financing Solutions Alternative financing solutions provided when small businesses do not meet SBA 504 loan program eligibility requirements, offering alternative pathways to secure business funding. Designed as a fallback for Illinois small businesses that IBFS cannot serve through the SBA 504 program.
Quantifiable outcome
- 90% financing available for commercial real estate and equipment purchases
- +4 more outcomes
Companies that use Illinois Business Financial Services
Customer profileNamed customers12 records
Segments3 records
Ideal customer profiles2 records
Illinois Business Financial Services technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Illinois Business Financial Services partnerships and signals
Strategic signalPartnerships
55 partnerships are on record, tiered minor, core and flagship.
- Albany Bank & Trust CominorIllinois partner bank located in Chicago, IL. One of 54+ Illinois banking institutions that collaborate with IBFS on SBA 504 loans.
- Austin Bank of ChicagominorIllinois partner bank located in Bensenville, IL. Part of IBFS network for SBA 504 loan referrals.
- Bank of FarmingtonminorIllinois partner bank located in Farmington, IL. Collaborates with IBFS on SBA 504 loans including projects like Raber Packing Company.
- Bank of SpringfieldminorIllinois partner bank located in Springfield, IL. Part of IBFS network for SBA 504 loan referrals.
- Bank ORIONminorIllinois partner bank located in Orion, IL.
- Bank PeoriaminorIllinois partner bank located in Peoria, IL.
- Better BanksminorIllinois partner bank located in Bartonville, IL.
- Busey BankcoreMajor Illinois community bank with significant presence in Peoria. Strategic partner for IBFS SBA 504 loans.
- Castle BankminorIllinois partner bank located in Lake of the Hills, IL.
- CEFCUminorIllinois credit union partner located in Peoria, IL.
- Central Illinois BankminorIllinois partner bank located in Peoria, IL.
- Centrue BankminorIllinois partner bank with locations in Ottawa/Kankakee, IL.
- CIBM BankminorIllinois partner bank located in Champaign, IL.
- Commerce BankminorIllinois partner bank located in Peoria, IL.
- Community State BankminorIllinois partner bank located in Rock Falls, IL.
- Country Bank of AledominorIllinois partner bank located in Aledo, IL.
- Eureka Community BankminorIllinois partner bank located in Eureka, IL.
- Farmers State BankminorIllinois partner bank located in Jacksonville, IL.
- Fifth Third BankcoreMajor national/regional bank with Illinois presence (Schaumburg). Strategic partner for IBFS SBA 504 loans.
- First Bankers Trust Co.minorIllinois partner bank located in Macomb, IL.
- First Eagle BankminorIllinois partner bank located in Chicago, IL.
- First Mid-Illinois Bank & TrustminorIllinois partner bank located in Decatur, IL.
- First Midwest BankminorIllinois partner bank located in McHenry, IL.
- First National BankminorIllinois partner bank located in Carlyle, IL.
- First State BankminorIllinois partner bank located in Bloomington, IL.
- F&M BankminorIllinois partner bank located in Galesburg, IL.
- Golden Eagle BankminorIllinois partner bank located in Woodstock, IL.
- Goodfield State BankminorIllinois partner bank located in Goodfield, IL.
- Grand Ridge National BankminorIllinois partner bank located in Wheaton, IL.
- Heartland BankminorIllinois partner bank located in Bloomington, IL.
- Herget BankminorIllinois partner bank located in Pekin, IL.
- Heritage BankminorIllinois partner bank located in Peoria, IL.
- Herrin Security BankminorIllinois partner bank located in Herrin, IL.
- Hickory Point Bank & TrustminorIllinois partner bank located in Peoria, IL.
- MidAmerica National BankminorIllinois partner bank located in Canton, IL.
- Midland States BankminorIllinois partner bank located in Yorkville, IL.
- Morton Community BankminorIllinois partner bank located in Morton, IL.
- New Capital BankminorIllinois partner bank located in Peoria, IL.
- Northbrook Bank (WinTrust)minorIllinois partner bank located in Chicago, IL.
- North Community Bank (Byline)minorIllinois partner bank located in Chicago, IL.
- Old Second National BankminorIllinois partner bank located in Aurora, IL.
- Peoples Bank & TrustminorIllinois partner bank located in Springfield, IL.
- Peoria Community BankminorIllinois partner bank located in Peoria, IL.
- Princeville State BankminorIllinois partner bank located in Princeville, IL.
- Republic BankminorIllinois partner bank located in Chicago, IL.
- Southside BankminorIllinois partner bank located in Peoria, IL.
- Soy Capital Bank & TrustminorIllinois partner bank located in Peoria, IL.
- STC Capital BankminorIllinois partner bank located in Peoria, IL.
- St. Charles Bank & TrustminorIllinois partner bank located in Elgin, IL.
- Town & Country BankminorIllinois partner bank located in Quincy, IL.
- United Community BankminorIllinois partner bank located in Springfield, IL.
- Washburn Community BankminorIllinois partner bank located in Washburn, IL.
- Providence BankminorIndiana partner bank located in Schererville, IN. IBFS extends SBA 504 lending into Indiana through this partnership.
- Zions BankminorUtah partner bank located in Salt Lake City, UT. IBFS extends SBA 504 lending into Utah through this partnership.
- U.S. Small Business Administration (SBA)flagshipIBFS is an SBA Certified Development Company (CDC) operating the SBA 504 Loan Program. This is the core partnership enabling IBFS to offer below-market fixed-rate financing up to 90% of project costs for small businesses.
Scale indicators5 records
Recent moves6 records
Expansion highlights5 records
Illinois Business Financial Services competitors and assessment
Company assessmentEmerging players
- Accion Opportunity Fund: Community Development Financial Institution providing small business loans to underserved entrepreneurs. Adjacent small business lending focus with similar mission-driven philosophy, though broader product set beyond SBA 504.
Direct peers
- Business & Community Lenders (BCL) of Texas: Texas-based SBA 504 Certified Development Company serving small businesses with similar product offerings (CRE acquisition, equipment financing, refinancing). Comparable mission-driven CDC model with bank partner distribution.
- CDC Small Business Finance: California-based SBA Certified Development Company offering SBA 504 and 7A loans to small businesses. Most direct analog to IBFS as a regionally-focused CDC with a multi-decade operating history and bank partner network.
- Florida First Capital Finance Corporation: Florida-based SBA 504 Certified Development Company providing below-market fixed-rate financing for small businesses. Directly comparable as a statewide CDC with similar loan packaging, processing, and servicing model.
- Wisconsin Business Development Finance: Wisconsin-based SBA 504 Certified Development Company providing small business financing. Comparable regional CDC with bank partner network and similar SBA 504 product structure.
- Greater Rochester Enterprise CDC: New York-based SBA 504 Certified Development Company providing small business financing solutions. Comparable as a regionally-focused CDC with packaging, processing, and servicing capabilities.
- Pacific Coast Regional Small Business Development Corporation: Los Angeles-based SBA 504 lender and CDFI serving small businesses. Comparable as a nonprofit CDC with similar SBA 504 origination and servicing economics and a bank partner referral model.
Broad incumbents
- MassDevelopment: Massachusetts state economic development finance agency that administers SBA 504 lending alongside broader economic development programs. Comparable as a CDC-adjacent entity serving small business financing needs in a defined geography.
- U.S. Small Business Administration (SBA): Federal agency that administers the SBA 504 program which IBFS operates under. Critical counterparty and ecosystem participant whose program rules directly shape IBFS's product, pricing, and addressable market.
Others
- SCORE: SBA resource partner providing free mentorship and business advising to small businesses. Not a lender but featured on IBFS's resources page as a complementary SBA-aligned small business support organization.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat5 records
Key risks6 records
Key highlights6 records
Customer concentration
Illinois Business Financial Services social profiles
Digital presenceIllinois Business Financial Services financial estimates
Financial estimateRevenue estimate
Valuation estimate
Illinois Business Financial Services leadership team
Management profileNumber of profiles
Profiles2 records
Illinois Business Financial Services funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Illinois Business Financial Services M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Illinois Business Financial Services
What does Illinois Business Financial Services do?
IBFS is an SBA Certified Development Company (CDC) that delivers SBA 504 loan packaging, processing, closing, and servicing for Illinois small businesses seeking fixed-asset financing. It provides up to 90% project financing for commercial real estate and capital equipment purchases at below-market fixed rates over 10, 20, or 25-year terms, and offers alternative financing solutions when SBA 504 eligibility is not met. The company also provides SBA 504 loan refinancing for existing commercial debt.
Is Illinois Business Financial Services a public or private company?
Illinois Business Financial Services is a private company. It is classified as founder individual operated bootstrapped and is currently operating.
When was Illinois Business Financial Services founded?
Illinois Business Financial Services was founded in 1981. It employs 11 to 50 people.
Where is Illinois Business Financial Services based?
Illinois Business Financial Services is headquartered in Peoria, United States, in the North America region.
How does Illinois Business Financial Services make money?
Two revenue lines are on record. SBA 504 Loan Fees are the primary driver. The others are loan Servicing.
Who are Illinois Business Financial Services's main competitors?
Accion Opportunity Fund is listed as an emerging player. Direct peers are Business & Community Lenders (BCL) of Texas, CDC Small Business Finance, Florida First Capital Finance Corporation, Wisconsin Business Development Finance, Greater Rochester Enterprise CDC and Pacific Coast Regional Small Business Development Corporation. Broad incumbents are MassDevelopment and U.S. Small Business Administration (SBA). SCORE is listed as an others.
Does Illinois Business Financial Services have an API?
No public API is recorded for Illinois Business Financial Services.
What industry is Illinois Business Financial Services in?
Illinois Business Financial Services's product category is Small Business Lending (SBA 504 Financing). Its primary akta.pro industry code is FSAKAGAI, SBA/Government-Backed & Development Finance Loans, with a secondary code of FSAEAEAI, SBA/USDA Government-Backed Loan Intermediation. Its NAICS code is 522 and its SIC code is 6162.