Last updated: March 13, 2026 · Prime Rate: 6.75% (effective December 11, 2025) · Sources: SBA.gov, Federal Reserve
SBA loan rates today average 8.67% to 11.06% for 7(a) loans (depending on loan size), approximately 6.7%–7.5% for 504 loans, and up to 13.25% for SBA Express loans. Rates depend on your loan size, term length, and whether you choose a fixed or variable rate. Below is a complete breakdown of every SBA loan program’s current rates, how they’re calculated, and how to secure the lowest rate available.
| Loan Type | Average Rate* | SBA Maximum |
|---|---|---|
| SBA 7(a) (over $350K) | 8.67% | 9.75% |
| SBA 7(a) ($250K–$350K) | 9.63% | 11.25% |
| SBA 7(a) ($50K–$250K) | 9.92% | 12.75% |
| SBA 7(a) ($50K or less) | 11.06% | 13.25% |
| SBA 504 (CDC portion) | ~6.7%–7.5% | Tied to Treasury |
| SBA Express | 10.33% | Same as 7(a) |
*Average rates based on SBA FOIA data (Oct–Dec 2025, 10,351 loans at current prime rate of 6.75%). Actual rates vary by lender and borrower qualifications.
Today’s SBA 7(a) Loan Rates
The SBA 7(a) loan program is the most popular SBA loan, and its interest rates are tied to the Wall Street Journal Prime Rate, currently at 6.75% following the Federal Reserve’s December 2025 rate cut. The SBA sets maximum spreads lenders can charge above prime — the actual rate you receive depends on your loan size and term length.
Here’s the key thing most borrowers don’t realize: loan size is the single biggest factor determining your rate. A $500,000 acquisition loan will carry a significantly lower rate than a $40,000 working capital loan — even if the borrower profiles are identical.
SBA 7(a) Variable Rate Maximum Spreads
The SBA caps the maximum spread lenders can charge above the base rate. These maximums come directly from the SBA Standard Operating Procedures:
| Loan Size | Max Spread (All Maturities) | Current Max Rate |
|---|---|---|
| Over $350,000 | Prime + 3.0% | 9.75% |
| $250,001 – $350,000 | Prime + 4.5% | 11.25% |
| $50,001 – $250,000 | Prime + 6.0% | 12.75% |
| $50,000 or less | Prime + 6.5% | 13.25% |
Fixed Rate Maximums
If you opt for a fixed-rate SBA 7(a) loan, the SBA publishes maximum fixed interest rates monthly. Fixed rate maximums use different loan-size tiers than variable rates, and the SBA calculates them based on current market swap rates plus regulated spreads. Here are the current published maximums:
| Loan Size | Maximum Fixed Rate |
|---|---|
| $250,001 or more | 11.75% |
| $50,001 – $250,000 | 12.75% |
| $25,001 – $50,000 | 13.75% |
| $25,000 or less | 14.75% |
Key difference from variable rates: Fixed rate tiers use different loan-size breakpoints — notably a $25,000 tier and a single $250,000+ tier (rather than the $350,000 breakpoint used for variable rates). The SBA updates these maximums monthly on the FTA Wiki. Fixed rates are generally higher than variable rates, but they lock in your payment for the life of the loan.
In practice: Most business acquisition loans over $350,000 are priced at prime + 1.75% to prime + 2.50% — that’s 8.50% to 9.25% today. Lenders rarely charge the SBA maximum on larger, well-qualified deals. The maximum spreads matter most for smaller loans where lender risk is higher.
What Borrowers Actually Pay (FOIA Data)
The SBA publishes loan-level data through FOIA requests. Here’s what borrowers are actually paying based on 10,351 loans approved in Q1 FY2026 (October–December 2025) at the current prime rate of 6.75%:
| Loan Size | Avg. Rate | Avg. Spread | # Loans |
|---|---|---|---|
| Over $350,000 | 8.67% | Prime + 1.92% | 3,028 |
| $250,001 – $350,000 | 9.63% | Prime + 2.88% | 1,210 |
| $50,001 – $250,000 | 9.92% | Prime + 3.17% | 3,685 |
| $50,000 or less | 11.06% | Prime + 4.31% | 2,428 |
Key takeaway: The average borrower pays well below the SBA maximum — especially on larger loans. For loans over $350K, the average spread is just 1.92% above prime, compared to the 3.0% maximum allowed. Business acquisition loans over $350K average even lower at 8.75% (prime + 2.00%). The most common rate across all SBA 7(a) loans right now is 10.0%.
Want to see how these rates translate to monthly payments? Use our SBA loan calculators to model different scenarios.
SBA 504 Loan Rates Today
SBA 504 loan rates work fundamentally differently from 7(a) rates. The 504 program is designed for major fixed-asset purchases — commercial real estate and heavy equipment — and offers some of the lowest long-term fixed rates available to small businesses.
The 504 loan structure has three components:
- First mortgage (conventional lender): ~50% of project cost, market rate
- CDC/SBA portion: ~40% of project cost, fixed debenture rate
- Borrower equity: 10% (15% for startups or special-purpose properties)
The CDC/SBA portion — the part that makes 504 loans attractive — carries a fully fixed rate set monthly based on current 5-year and 10-year U.S. Treasury rates plus a small spread. Current effective rates on the CDC portion are approximately 6.7% to 7.5%.
Because 504 rates are pegged to Treasury yields rather than the prime rate, they can offer significantly lower rates than 7(a) loans — especially for long-term financing. A 20- or 25-year fully fixed rate in the high-6% to low-7% range is difficult to match with any other small business financing product.
Best for: Purchasing commercial property, constructing new facilities, or buying heavy equipment with a long useful life. If your primary need is real estate, the 504 is almost always the better rate play. Calculate your 504 loan payment here.
SBA Express Loan Rates Today
SBA Express loans trade speed for convenience. The program offers SBA-backed loans up to $500,000 with approval decisions in as little as 36 hours — far faster than the 2–6 week standard 7(a) timeline.
Under current SBA rules, SBA Express loans follow the same maximum interest rate caps as standard 7(a) loans. The rate tiers are identical — based on your loan size, with the same prime + spread maximums shown in the variable rate table above. The only exception is the Export Working Capital Program (EWCP), where lenders can set their own rates.
In practice, expect Express loan rates in the 9.50% to 13.25% range depending on loan size and borrower strength. Because Express loans carry a lower SBA guarantee (50% vs. 75%–85% for standard 7(a)), some lenders price them slightly higher within the allowed range to compensate for the additional risk they retain.
SBA Express is ideal when you need capital quickly — lines of credit, short-term working capital, or time-sensitive opportunities. The program’s real advantage is speed and simplicity, not rate savings.
Base Rates Reference Table
All SBA loan rates are built on underlying benchmark rates. Here are the current base rates that drive SBA loan pricing:
| Benchmark Rate | Current Value | Last Updated |
|---|---|---|
| WSJ Prime Rate | 6.75% | Dec 11, 2025 |
| Federal Funds Rate | 3.50% – 3.75% | Dec 11, 2025 |
| SOFR (30-day avg) | ~3.67% | Current |
| SOFR (90-day avg) | ~3.69% | Current |
| 5-Year Treasury | ~3.88% | Current |
| 10-Year Treasury | ~4.27% | Current |
| 30-Year Treasury | ~4.88% | Current |
The WSJ Prime Rate is the most important number for SBA 7(a) borrowers — it’s the base that all 7(a) rate spreads are added to. When the Federal Reserve cuts the federal funds rate, the prime rate typically drops by the same amount, which directly lowers SBA 7(a) loan rates.
The Fed cut rates multiple times in late 2024 and 2025, bringing the prime rate down from 8.50% to 6.75%. Markets anticipate potential additional cuts in 2026, which could push SBA 7(a) rates lower.
SBA 7(a) Rates by Loan Purpose
Your interest rate depends heavily on what you’re using the loan for. Real estate loans carry the lowest rates because they’re secured by property with long terms. Working capital loans carry the highest because they’re shorter-term with less collateral. Here’s what borrowers are actually paying based on SBA FOIA data (Q1 FY2026, 10,351 loans):
| Loan Purpose | Avg. Rate | Avg. Loan Size | # Loans |
|---|---|---|---|
| Commercial Real Estate Terms over 10 years, secured by property | 8.51% | $1,427,194 | 1,659 |
| Business Acquisitions Buying an existing business (change of ownership) | 8.85% | $1,209,547 | 1,149 |
| Startups New business, loan funds will open the business | 9.37% | $560,192 | 1,593 |
| New Businesses Operating for 2 years or less | 9.73% | $477,277 | 1,534 |
| Existing Businesses Operating for 2+ years, all loan types | 10.09% | $365,574 | 6,068 |
| Working Capital Existing business, term 10 years or less | 10.32% | $234,892 | 5,381 |
Source: SBA FOIA loan-level data, Oct–Dec 2025 (FY2026 Q1). Categories may overlap — e.g., an acquisition loan may also include real estate.
Why Real Estate and Acquisition Loans Get the Best Rates
The pattern is clear: larger, asset-backed loans get lower rates. Real estate loans average just 8.51% because the property serves as strong collateral and terms run 20–25 years. Business acquisition loans average 8.85% because they’re typically larger ($1.2M average) with established cash flow backing the deal.
Working capital loans average 10.32% — nearly 2 percentage points higher — because they’re smaller ($235K average), shorter-term, and carry more risk for lenders. If you’re looking for working capital, shopping multiple lenders through a broker becomes even more critical to avoid overpaying.
Startups actually get better rates (9.37%) than you might expect, largely because startup SBA loans tend to be larger franchise or real estate deals where the asset provides collateral.
SBA Loan Rates by Loan Type — Side-by-Side Comparison
Choosing between SBA loan programs? Here’s how the three main options compare on every key metric:
| Feature | SBA 7(a) | SBA 504 | SBA Express |
|---|---|---|---|
| Maximum Loan | $5,000,000 | $5,500,000 | $500,000 |
| Rate Type | Variable or Fixed | Fixed (CDC portion) | Variable or Fixed |
| Current Rate Range | 8.67% – 11.06% avg | ~6.7% – 7.5% | 10.33% avg |
| Loan Term | 7 – 25 years | 10 – 25 years | Up to 25 years |
| Approval Time | 2 – 6 weeks | 45 – 90 days | 36 hours |
| SBA Guarantee | 75% – 85% | Up to 40% (CDC portion) | 50% |
| Best For | Business acquisitions, working capital, general purpose | Commercial real estate, heavy equipment | Quick funding, lines of credit |
Quick rule of thumb: If you’re buying a business or need flexible funds, go 7(a). If you’re buying real estate or major equipment, go 504 for the lowest fixed rate. If speed is critical, go Express — but expect to pay more for the convenience.
For a deeper dive into how these programs compare, read our comprehensive guide to SBA loan interest rates.
What Affects Your SBA Loan Rate
While the SBA sets maximum rate caps, your actual rate depends on several factors that lenders evaluate:
1. Loan Size
This is the single biggest factor. As shown in the rate tables above, a loan over $350,000 has a maximum spread of prime + 3.0%, while a loan under $50,000 allows prime + 6.5%. The difference between a $400K loan and a $40K loan can be over 3 percentage points.
2. Fixed vs. Variable Rate
Fixed-rate SBA 7(a) loans carry higher maximum rates than variable-rate loans, with the SBA publishing updated caps monthly. In the current declining-rate environment, many borrowers opt for variable rates to benefit from potential future Fed cuts — but fixed rates offer payment certainty.
3. Credit Score
Most SBA lenders require a minimum credit score of 680, but borrowers with scores of 700+ consistently receive better rates. A strong personal credit profile signals lower risk and gives lenders confidence to price below the SBA maximum.
4. Business Cash Flow and DSCR
Your Debt Service Coverage Ratio (DSCR) — how much cash flow your business generates relative to debt payments — is critical. A DSCR of 1.25x or higher signals a healthy business and gives you negotiating leverage on rate.
5. Industry Risk
Some industries carry higher default rates, which affects lender pricing. Restaurants, for example, may face higher rates than medical practices due to historical performance data.
6. Which Lender You Use
This is the factor most borrowers overlook. SBA loan rates vary significantly from lender to lender — even for the same borrower and same loan. One lender might offer prime + 2.25% while another quotes prime + 3.0% on a $500K acquisition. That difference saves (or costs) thousands over the life of the loan. Browse our SBA lender directory to compare options.
How to Get the Lowest SBA Loan Rate
Securing the best possible SBA rate isn’t luck — it’s strategy. Here’s what works:
Work With a Broker Who Shops Multiple Lenders
A single lender gives you one offer. An experienced SBA loan broker shops your deal across 50+ lenders to find the best rate and terms. At GoSBA Loans, we regularly save clients 0.5%–1.0% compared to going directly to their bank — on a $500K loan over 10 years, that’s $15,000–$30,000 in savings.
Target Larger Loan Amounts
If your project naturally falls near a rate tier boundary (like $340K), it may be worth structuring the deal slightly larger to qualify for the $350K+ tier with its lower maximum spread.
Build a Strong Application Package
A DSCR of 1.25x or higher, clean personal credit (700+), and a professional business plan signal to lenders that you’re a low-risk borrower deserving of a lower rate. GoSBA provides free business plan preparation — a service that typically costs $2,500–$5,000 from consultants — included with every loan engagement.
Consider Variable Rates in a Declining-Rate Environment
With the Federal Reserve having cut rates multiple times and markets anticipating potential additional cuts in 2026, a variable-rate SBA loan lets you benefit from each reduction. If prime drops from 6.75% to 5.75%, your loan rate drops with it automatically.
Get Started
Ready to find out what rate you qualify for? Contact our SBA loan team for a free rate quote. We’ll match you with the lender offering the lowest rate for your specific situation — no obligation, no cost.
Frequently Asked Questions
What is the current SBA 7(a) loan rate today?
As of March 2026, SBA 7(a) loan rates average 8.67% to 11.06% depending on loan size, based on actual SBA FOIA data. Rates are based on the WSJ Prime Rate (currently 6.75%) plus a negotiated spread. Loans over $350,000 average 8.67% (prime + 1.92%), while loans under $50,000 average 11.06% (prime + 4.31%). Business acquisition loans over $350K average just 8.75%. The SBA sets maximum rate caps (9.75% to 13.25%), but most borrowers pay well below the maximum.
What is the SBA 504 loan rate today?
Current SBA 504 loan rates on the CDC/SBA portion are approximately 6.7% to 7.5%, fully fixed for 10, 20, or 25 years. These rates are tied to U.S. Treasury yields, not the prime rate, making them lower and more stable than 7(a) rates. The 504 program is specifically designed for commercial real estate and heavy equipment purchases.
Are SBA loan rates going down in 2026?
SBA 7(a) rates have already come down significantly — the prime rate dropped from 8.50% to 6.75% following multiple Federal Reserve rate cuts in 2024 and 2025. Whether rates continue falling depends on future Fed actions. Market expectations suggest potential additional cuts in 2026, but this depends on inflation and economic conditions. Variable-rate SBA borrowers benefit automatically when rates drop.
What is the lowest SBA loan rate available?
The lowest SBA rates are found in the 504 program at approximately 6.7%–7.5% (fully fixed). For 7(a) loans, the average for large deals over $350,000 is 8.67% (prime + 1.92%), with well-qualified acquisition loans averaging 8.75%. Actual rates vary by lender — working with a broker who shops multiple lenders is the best way to find the lowest available rate.
How is the SBA loan rate calculated?
SBA 7(a) rates are calculated as a base rate plus a spread. The base rate is typically the WSJ Prime Rate (6.75% today). The spread is negotiated between borrower and lender, subject to SBA maximums that vary by loan size. For example, a $500K acquisition loan is typically priced at prime + 1.75% to prime + 2.50% = 8.50% to 9.25%. The average for loans over $350K is 8.67% based on FOIA data. The SBA sets the ceiling; lenders compete below it.
Fixed or variable rate — which is better for SBA loans?
It depends on the rate environment. In today’s declining-rate environment, variable rates let you benefit from future Fed cuts — if prime drops another 1%, your rate drops too. Fixed rates offer payment certainty and protection if rates rise unexpectedly. Fixed rates on SBA 7(a) loans carry higher maximums than variable rates — the SBA publishes updated fixed rate caps monthly. For 504 loans, fixed is standard and often the better value.
Do all SBA lenders charge the same rate?
No — and this is one of the biggest misconceptions about SBA loans. While the SBA sets maximum rates, lenders have full discretion to price below those caps. Two lenders can quote rates 0.5%–1.5% apart on the exact same deal. This is why working with an SBA loan broker who shops your deal across multiple lenders can save thousands. Get a free rate comparison here.
Can I refinance my SBA loan if rates drop?
Yes, SBA loan refinancing is available under certain conditions. You can refinance an existing SBA loan with a new SBA loan if it results in a meaningful benefit — typically a lower rate or better terms. The new loan must demonstrate at least a 10% reduction in payment or provide additional working capital. With rates having dropped significantly from their 2023–2024 peaks, many borrowers with older SBA loans are refinancing now. Contact us to evaluate your refinancing options.
