SBA Loan Calculator

SBA loans are partially guaranteed by the U.S. Small Business Administration. The SBA does not lend directly; they work with banks and lenders to reduce risk. This makes it easier for small businesses to get financing. SBA loans typically offer lower rates, longer terms, and lower down payments than conventional loans.

Typical requirements: 1) For-profit business in the U.S., 2) Owner invested equity, 3) Exhausted other financing options, 4) Good credit (680+ preferred), 5) Strong business plan, 6) 2+ years in business (for most programs), 7) Demonstrated ability to repay.

SBA 7(a) loans typically take 30-60 days from application to funding. SBA Express loans can be approved in 36 hours but have lower maximums ($500,000). Working with an SBA Preferred Lender speeds up the process. Have all documentation ready to avoid delays.

SBA 7(a) loans can be used for: working capital, equipment purchases, inventory, real estate, business acquisition, and debt refinancing. They cannot be used for speculative investments, lending, or passive real estate holding.

SBA 7(a) loan rates are typically Prime + 2.25% to 4.75% depending on loan amount and term. As of 2024, expect rates around 11-13% for variable-rate loans. Fixed-rate options are available but may be higher. SBA sets maximum rates lenders can charge.