SBA 7(a) loan program & subtypes
Uses: Working capital, equipment, refinancing debt, buying real estate, business acquisition, or expansion
Unlike 504, real estate has to be owner occupied and can be combined with other uses (e.g. Acquisition/ working capital).
Real estate loan sourced from a single SBA-approved lender (bank or credit union) unlike 504 two-part structure.
Max Loan Amount
Max loan amount is $5 million
Max interest rate prime + 6.5%
Max loan term 10 years working capital
Max loan term 25 years real estate
Subtypes include: Standard, 7(a) Small Loan, SBA Express, Export Express & Export Working Capital CAPLines, Veteran Advantage
Subtypes include: Standard, 7(a) Small Loan, SBA Express, Export Express & Export Working Capital CAPLines, Veteran Advantage
SBA 7(a) small loan details (≤ $500k)
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
SBA Guarantee: 85% for loans up to $150,000. 75% for loans over $150,000
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
Processing Time: Typically 2–10 business days, depending on the lender’s authority
Use of Funds: Working capital, equipment purchase, real estate acquisition, debt refinancing, & more
Processing Time: Typically 2–10 business days, depending on the lender’s authority
Interest Rates: Negotiated between borrower and lender, subject to SBA maximums
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
Processing Time: Typically 2–10 business days, depending on the lender’s authority
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
Loan Term: Up to 10 years for working capital; up to 25 years for real estate
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
Collateral Requirements: Loans ≤ $50k No collateral. > $50k lenders follow their collateral policies
SBA Express Loan Program
Purpose: Expedited financing for small businesses
Purpose: Expedited financing for small businesses
Purpose: Expedited financing for small businesses
Loan Amount: Up to $500,000
Purpose: Expedited financing for small businesses
Purpose: Expedited financing for small businesses
Guarantee: Up to 50% by the SBA
Purpose: Expedited financing for small businesses
Approval Time: Typically within 36 hours
Approval Time: Typically within 36 hours
Use Cases: Working capital, equipment purchase, and real estate acquisition.
Approval Time: Typically within 36 hours
Use Cases: Working capital, equipment purchase, and real estate acquisition.
Use Cases: Working capital, equipment purchase, and real estate acquisition.
Use Cases: Working capital, equipment purchase, and real estate acquisition.
2025 Changes
Use Cases: Working capital, equipment purchase, and real estate acquisition.
Use Cases: Working capital, equipment purchase, and real estate acquisition.
SBA Export Loan Programs
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
Export Working Capital Program: Up to $5 million. Purpose working capital to support export sales
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
International Trade Loan Program: Up to $5 million to support business expansion to grow exports
Export Express loan: Up to $500k. Purpose: Financing for businesses that export goods or services
International Trade Loan Program: Up to $5 million to support business expansion to grow exports
SBA CAPLines Program(working capital)
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
Loan Amount: Up to $5 million
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
4 Types: 1. Seasonal CAPLine: For businesses preparing for seasonal increases in sales
Purpose: Working capital lines of credit to help small businesses meet short-term & cyclical needs.
2. Contract CAPLine: Financing for specific contracts, subcontracts, or purchase orders
2. Contract CAPLine: Financing for specific contracts, subcontracts, or purchase orders
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
2. Contract CAPLine: Financing for specific contracts, subcontracts, or purchase orders
3. Builders CAPLine: For construction or renovation of commercial or residential buildings
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
4. CAPLine: Asset-based revolving line of credit for businesses unable to meet credit standards.
Vetran Advantage
Reduced Guaranty Fees: benefit from lower upfront fees. SBA Express loans up to $500k fees waived
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Expedited Loan Processing: Express loans offer faster processing times, approvals within 36 hours
Access to Capital: SBA 7(a) & Express Loans used for working capital, equipment & real estate etc.
Expedited Loan Processing: Express loans offer faster processing times, approvals within 36 hours
Eligibility to business controlled by (1) honorably discharged veterans or;
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
Expedited Loan Processing: Express loans offer faster processing times, approvals within 36 hours
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
(3) Current or widowed spouses of eligible veterans or service members
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
(2) Active duty service members eligible for the Transition Assistance Program (TAP)
SBA 504 Loan Program Overview
Structured to promote economic development through Certified Development Companies (CDCs)
Structured to promote economic development through Certified Development Companies (CDCs)
Structured to promote economic development through Certified Development Companies (CDCs)
Loan structur:
•50% – Private lender (e.g., bank or credit union)
•40% – SBA-backed Certified Development Company (CDC)
•10% – Borrower contribution (can be higher for startups or special-use properties)
Loan Amounts
Structured to promote economic development through Certified Development Companies (CDCs)
Structured to promote economic development through Certified Development Companies (CDCs)
•No maximum total project cost.
•Up to $5 million for standard projects.
•Up to $5.5 million for small manufacturers or green energy initiatives.
Eligible Uses
Structured to promote economic development through Certified Development Companies (CDCs)
Terms & Interest Rates
•Purchase of land and improvements (e.g., buildings, parking lots)
•Construction of new facilities or renovation of existing ones
•Purchase of long-term equipment or machinery
•Refinancing qualified existing debt
Terms & Interest Rates
Eligibility Requirements
Terms & Interest Rates
•10, 20, or 25 years for repayment.
•Fixed interest rates for the SBA/CDC portion.
•Private lender portion may be fixed or variable.
Eligibility Requirements
Eligibility Requirements
Eligibility Requirements
•For-profit U.S. business.
•Tangible net worth < $20 million.
•Average net income after taxes < $6.5 million (last 2 years).
•Occupancy: 51% for existing buildings, 60% for new construction.
Collateral & Fees
Eligibility Requirements
Eligibility Requirements
•Collateral: Assets being financed.
•Personal guarantees from 20%+ owners required.
•Fees: 2.5%–3% of CDC portion, can be financed.
By continuing to use this site, you accept our use of cookies and this disclaimer:
Due to the sensitivity and the nature of these professional services, no specific mentions of companies or individuals are made to protect the beneficiaries from legal infringements. Content is designed to avoid plagiarism and the need for citations. No content is copied in its "as-is" format to eradicate any potential copyright infringements globally through international laws and in all international jurisdictions. Disclaimer: Licensed with Series 6 & 63. I do not provide individualized investment advice or fiduciary portfolio management. Alternative investments and lending products discussed may be illiquid, carry risk, and are not suitable for all investors.
All Rights Reserved.
Cookie Policy
This website uses cookies. By continuing to use this site, you accept our use of cookies and this disclaimer:
Due to the sensitivity and the nature of this professional service, no specific mentions of companies or individuals are made to protect the beneficiaries from legal infringements.
Content is designed to avoid plagiarism and the need for citations. No content is copied in its "as-is" format to eradicate any potential copyright infringements globally through international laws and in all national jurisdictions.