Estimate monthly payments on an SBA 7(a) loan with Prime + spread variable rate. See how rate changes affect your payment and plan for different scenarios.
—
Ready to apply for an SBA 7(a) loan? Our advisors specialize in SBA lending. Pre-assessment in 48 hours.
A is saved. Change any input above and B updates — the difference shows on the right.
| Result | A saved | B now | B − A |
|---|
The most versatile SBA program for small business owners.
SBA 7(a) loans use a variable rate tied to the WSJ Prime Rate plus a spread. The spread depends on loan size and term: up to 2.75% for loans under $50K, 2.25% for $50K–$250K, and 1.5–2.25% for loans over $250K. Your rate adjusts quarterly as Prime changes.
SBA 7(a) offers more flexibility — funds can be used for real estate, equipment, working capital, debt refinancing, and business acquisition. SBA 504 is limited to fixed assets but offers lower fixed rates and 90% LTV. For pure real estate purchases, 504 is usually better. For mixed-use funding, 7(a) wins.
SBA charges a one-time guarantee fee: 2% for loans $150K–$700K, 3% for $700K–$1M, and 3.5% for loans over $1M, with an additional 0.25% on the portion above $1M. The fee can be financed into the loan. Annual servicing fees of 0.55% also apply but are built into the rate.
Since SBA 7(a) rates float with Prime, your payment changes quarterly. Budget for rate increases of 1–2% above current levels. Some lenders offer rate caps or interest rate swaps on larger 7(a) loans. Our advisors model worst-case scenarios to ensure comfortable debt service coverage.
Every calculator we offer, in one place — run the next number your lender will ask about.
Common questions about SBA 7(a) loans.
SBA 7(a) rates are variable, based on the WSJ Prime Rate plus a lender spread. As of 2025–2026, with Prime around 7.5%, total SBA 7(a) rates range from 9.0% to 10.5% depending on loan size and lender. Rates adjust quarterly with Prime.
The standard SBA 7(a) maximum is $5 million. SBA Express loans cap at $500K with faster processing. For real estate purchases over $5M, consider SBA 504 (CDC portion up to $5–$5.5M) or conventional CRE financing.
No. SBA 7(a) requires the borrower to be an active, operating business. For real estate, you must occupy 51%+ of the building. Pure investment properties without owner occupancy do not qualify for any SBA program.
The SBA charges a one-time guarantee fee based on loan size: approximately 2% for loans $150K–$700K, 3% for $700K–$1M, and 3.5% for loans over $1M. This fee can be financed into the loan amount. Annual servicing fees of 0.55% are built into the rate.
SBA 7(a) loans with terms of 15+ years have a prepayment penalty in the first 3 years: 5% in year 1, 3% in year 2, 1% in year 3. After year 3, there is no penalty. Loans with terms under 15 years have no prepayment penalty at any time.
We help you choose between 7(a) and 504, prepare SBA-compliant documentation, and connect you with preferred SBA lenders who offer competitive spreads. Our advisory is free — we are compensated by the lender at closing.
Our SBA specialists help you choose between 7(a) and 504, negotiate the best spread, and prepare a lender-ready application package.
Get SBA Pre-Assessment