An SBA loan is a small business loan partially guaranteed by the U.S. Small Business Administration. The SBA doesn't lend directly but guarantees a portion of loans made by approved lenders, reducing risk and making it easier for small businesses to qualify.

What are the different types of SBA loans?

The main SBA loan programs are: 7(a) loans (up to $5 million for working capital and general purposes), 504 loans (for major fixed assets like real estate and equipment), and Microloans (up to $50,000 for startups and small businesses).

What is the SBA guarantee fee?

The SBA guarantee fee is a one-time fee charged on the guaranteed portion of the loan. For loans over $1 million, the fee is typically 3.5% of the guaranteed amount. For smaller loans, fees range from 0% to 3.5% depending on loan size and term.

What are typical SBA loan interest rates?

SBA loan rates are typically Prime Rate plus 2.25% to 4.75% depending on loan size and term. As of 2024, this translates to roughly 10-13% for most borrowers. Rates are capped by the SBA to protect borrowers.

SBA Loan Calculator

Calculate monthly payments, fees, and total costs for Small Business Administration loans.

Small Business Administration Loan Calculator

Estimate your SBA 7(a), 504, or Microloan payments with guarantee fees included

Loan Details

Loan Amount ($) Amount you need to borrow

SBA Loan Program Type of SBA loan program

Interest Rate (%) Prime + spread (typically 10-13%)

Loan Term Repayment period

Fees & Down Payment

Down Payment (%) Typically 10-20% required

SBA Guarantee (%) Portion guaranteed by SBA (75-85%)

Include SBA Guarantee Fee One-time fee on guaranteed portion

Include Packaging Fee ($2,500) Optional lender packaging fee

SBA Loan Summary

Monthly Payment

for 120 months

Net Loan Amount

After down payment

Total Interest

0% of loan

Total Cost

Including all fees

Payment Breakdown

Principal (0%)

Interest (0%)

Loan Cost Breakdown

Loan Amount Requested $0

Down Payment -$0

                    Net Loan Amount
                    $0
                

SBA Guarantee Fee $0

Packaging Fee $0

Total Interest $0

                    Total of All Payments
                    $0
                

SBA Loan Programs Comparison

7(a) Loan

Up to $5M

Working capital, equipment, real estate

504 Loan

Up to $5.5M

Major fixed assets, real estate

Microloan

Up to $50K

Startups, small working capital

Compare Loan Terms

Term	Monthly	Total Interest	Total Cost	vs Current

Amortization Schedule (First 12 Months)

Month	Payment	Principal	Interest	Balance

SBA Loan Requirements

SBA loans require the business to be for-profit, operating in the U.S., have reasonable owner equity, and demonstrate ability to repay. Approval depends on credit history, business plan, collateral, and industry. Processing typically takes 30-90 days. The SBA guarantee reduces lender risk but doesn't guarantee approval.

Understanding SBA Loans

What is an SBA Loan?

SBA loans are small business loans partially guaranteed by the U.S. Small Business Administration. The SBA doesn't lend directly but works with approved lenders (banks, credit unions) to provide loans with favorable terms, lower down payments, and longer repayment periods than conventional business loans.

SBA Loan Programs

7(a) Loans: Most common, up to $5M for various purposes
504 Loans: For major fixed assets and real estate
Microloans: Up to $50K for startups and small needs
SBA Express: Faster approval, up to $500K
Disaster Loans: For declared disaster areas

Eligibility Requirements

For-profit business in the U.S.
Meet SBA size standards (small business)
Good personal and business credit
Demonstrated ability to repay
Owner investment/equity in the business

SBA Guarantee Fees

Loans ≤ $150K: 2% of guaranteed portion
$150K - $700K: 3% of guaranteed portion
$700K - $1M: 3.5% of guaranteed portion
> $1M: 3.5% + 0.25% on portion over $1M
Annual servicing fee: 0.55% may apply