SBA Loan Calculator
Estimate what an SBA loan would cost each month. Enter the amount, the rate your lender quoted, and the term to see the monthly payment, total interest, and an amortization schedule. Add upfront fees to see the full cost, and check the most a 7(a) lender can charge over prime for a loan your size.
7(a) loans go up to $5 million
Optional: SBA guarantee fee plus lender fees from your quote
Amortization schedule
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $14,159.54 | $28,019.09 | $235,840.46 |
| 2 | $15,876.52 | $26,302.12 | $219,963.94 |
| 3 | $17,801.69 | $24,376.94 | $202,162.25 |
| 4 | $19,960.31 | $22,218.32 | $182,201.94 |
| 5 | $22,380.69 | $19,797.95 | $159,821.25 |
| 6 | $25,094.55 | $17,084.08 | $134,726.70 |
| 7 | $28,137.50 | $14,041.13 | $106,589.20 |
| 8 | $31,549.44 | $10,629.20 | $75,039.76 |
| 9 | $35,375.10 | $6,803.53 | $39,664.66 |
| 10 | $39,664.66 | $2,513.97 | $0.00 |
How the SBA loan payment is calculated
- Monthly rate = annual rate ÷ 12
- Monthly payment = amount × monthly rate ÷ (1 − (1 + monthly rate)^−months)
- Total interest = monthly payment × months − amount
- Total cost = amount + total interest + upfront fees
Example. A $250,000 loan at 11.5% over 10 years comes to about $3,514.89 a month. Over the full term you would pay about $171,786 in interest, for a total of about $421,786 before fees.
SBA loan payments at 11.5%
Monthly payments for common loan sizes at an example rate of 11.5%. Use the calculator with your own quote.
| Loan amount | 10-year term | 25-year term |
|---|---|---|
| $50,000 | $702.98 | $508.23 |
| $150,000 | $2,108.93 | $1,524.70 |
| $250,000 | $3,514.89 | $2,541.17 |
| $500,000 | $7,029.77 | $5,082.34 |
| $1,000,000 | $14,059.54 | $10,164.69 |
| $2,000,000 | $28,119.09 | $20,329.38 |
| $5,000,000 | $70,297.72 | $50,823.45 |
Things to know about SBA loans
- SBA 7(a) loans go up to $5 million. Working capital and most equipment loans run up to 10 years, and real estate up to 25 years.
- For variable-rate 7(a) loans, the SBA caps the spread over the base rate (usually prime) by loan size: 6.5 points for $50,000 or less, 6.0 up to $250,000, 4.5 up to $350,000, and 3.0 above that.
- A 504 loan is usually split three ways: about 50% from a bank, 40% from a Certified Development Company at a fixed rate, and 10% down from you. To estimate it here, run the bank and CDC portions separately.
- SBA lenders look at cash flow first. Most want the business to cover its debt payments at least 1.15 times, and they will ask for business and personal tax returns and recent bank statements.
- The upfront guarantee fee is set by the SBA each fiscal year and charged on the guaranteed portion of the loan. Ask your lender for the exact fee and any packaging or closing fees, and enter the total.
Frequently asked questions
How is an SBA loan payment calculated?
SBA loans use a standard amortization formula: the payment depends on the amount, the monthly interest rate, and the number of months. A $250,000 loan at 11.5% for 10 years is about $3,515 a month.
What interest rate should I use?
Use the rate your lender quoted. SBA 7(a) rates are usually the prime rate plus a spread, and the SBA caps that spread by loan size. The calculator shows the maximum spread for the amount you enter.
How long can an SBA loan term be?
For 7(a) loans, working capital is generally up to 10 years and real estate up to 25 years. 504 loans come in 10, 20, and 25-year terms.
What is the monthly payment on a $100,000 SBA loan?
At 11.5%, a $100,000 SBA loan costs about $1,406 a month over 10 years, or about $1,016 a month over 25 years. Enter your own rate to update it.
Does the SBA charge fees?
Yes. Lenders pay the SBA an upfront guarantee fee that is usually passed on to you, and there may be lender closing or packaging fees. Ask your lender for the full list.
How much down payment does an SBA loan need?
Often about 10% for business acquisitions, start-ups, and 504 real estate projects, though lenders set their own rules and some loans need more.
What do SBA lenders look at to approve a loan?
Mainly cash flow: whether the business earns enough to cover the payment, often with a debt service coverage ratio of at least 1.15. They also review credit, collateral, owner experience, tax returns, and bank statements. Owners of 20% or more usually sign a personal guarantee.
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Calculators give estimates from the numbers you enter. They are not tax, legal, or accounting advice.