Best Kentucky SBA Lenders & Rates (2026)
2025 FOIA data: top lenders, rates, industries & loan types in Kentucky
SBA Loans in Kentucky
Kentucky businesses received $288.0M in SBA 7(a) loan approvals across 597 businesses in 2025, supporting 6,547 jobs. With 76 active SBA lenders competing for business in Kentucky, comparing offers is essential — rates vary significantly by lender.
The average SBA loan in Kentucky is $482K at 9.78%, which is 0.54% below the national average of 10.32%. The top lender in Kentucky is Stock Yards Bank & Trust Company, with the most-funded industry being Hotels (except Casino Hotels) and Motels.
SBA Loans in Kentucky by Business Type
Whether you’re starting a business, buying one, or expanding an existing operation in Kentucky, here’s how SBA lending breaks down:
Startups represent 14% of Kentucky SBA loans (99 loans totaling $41.7M). Business acquisitions (change of ownership) account for 36% (84 loans, $104.3M). Existing businesses make up the largest share at 41% (349 loans). If you’re buying a business in Kentucky, acquisitions are a well-established use case for SBA 7(a) loans.
Kentucky vs. National Average
How does Kentucky’s SBA lending market compare to the national average in 2025?
Kentucky9.78%
National Avg10.32%
✅ Kentucky’s avg rate is 0.54% lower than the national average
Kentucky$482K
National Avg$478K
Kentucky’s avg loan is 1x the national average
A rate lower than the national average of 10.32% is significant context for Kentucky borrowers. Individual rates depend on your credit profile, deal structure, loan size, and the specific lender you work with — which is why comparing multiple offers from different banks is consistently the best strategy to get the lowest possible rate on your SBA loan.
Top SBA Lenders in Kentucky (2025 Data)
The table below ranks every SBA 7(a) lender active in Kentucky in 2025 by total dollar volume approved. This data comes directly from SBA FOIA records and represents actual funded loans — not pre-qualifications or applications received.
| # | Lender | Volume | Loans | Avg Rate |
|---|---|---|---|---|
| 1 | Stock Yards Bank & Trust Company | $35.0M | 45 | 7.82% |
| 2 | Live Oak Banking Company | $28.9M | 18 | 9.41% |
| 3 | The Huntington National Bank | $18.3M | 54 | 9.71% |
| 4 | Northeast Bank | $13.9M | 82 | 11.06% |
| 5 | Newtek Bank, National Association | $13.4M | 36 | 10.83% |
| 6 | Community Trust Bank, Inc. | $12.6M | 60 | 8.18% |
| 7 | Republic Bank & Trust Company | $11.9M | 32 | 8.2% |
| 8 | U.S. Bank, National Association | $10.8M | 64 | 9.91% |
| 9 | Heritage Bank Inc | $10.2M | 7 | 9.86% |
| 10 | South Central Bank, Inc. | $8.1M | 4 | 7.94% |
| 11 | US Metro Bank | $7.5M | 2 | 8.62% |
| 12 | GBank | $7.5M | 3 | 9% |
| 13 | United Midwest Savings Bank National Association | $7.3M | 10 | 10.22% |
| 14 | Celtic Bank Corporation | $6.6M | 12 | 10.83% |
| 15 | First Financial Bank | $5.5M | 5 | 9.25% |
Pay close attention to the “Avg Rate” column — rates vary significantly between lenders operating in the same state. The spread between the lowest and highest rate in this table can represent tens of thousands of dollars over the life of your loan. The top lenders in Kentucky have funded the most deals locally, meaning their loan officers understand Kentucky’s commercial real estate values, industry mix, and economic conditions. This familiarity typically translates into faster underwriting and more competitive terms.
However, don’t limit your search to local banks alone. Many of the top national SBA lenders fund loans across all 50 states and may offer better rates or more experience with your specific industry. An SBA loan broker like GoSBA gives you access to both Kentucky-based lenders and national lenders with a single application — ensuring you get the most competitive offer available.
Get Matched with the Best SBA Lender in Kentucky
One 5-minute application. 76 lenders competing for your deal. GoSBA matches you to the best fit — free, no obligation.
Top Industries Funded in Kentucky
SBA lending in Kentucky reflects the state’s economic profile and business formation trends. The table below shows which industries received the most SBA 7(a) funding in Kentucky in 2025, ranked by total dollar volume:
| Industry | Loans | Volume |
|---|---|---|
| Hotels (except Casino Hotels) and Motels | 12 | $33.8M |
| Limited-Service Restaurants | 21 | $15.0M |
| Plumbing, Heating, and Air-Conditioning Contractors | 21 | $14.9M |
| Offices of Dentists | 12 | $13.1M |
| Full-Service Restaurants | 25 | $11.0M |
| Services for the Elderly and Persons with Disabilities | 4 | $10.0M |
| Power and Communication Line and Related Structures Construction | 2 | $9.6M |
| Child Day Care Services | 8 | $6.3M |
| Lessors of Nonfinancial Intangible Assets (except Copyrighted Works) | 1 | $5.0M |
| Electrical Apparatus and Equipment, Wiring Supplies, and Related Equip | 2 | $5.0M |
| General Freight Trucking, Local | 10 | $4.7M |
| Offices of Physicians (except Mental Health Specialists) | 9 | $4.6M |
| Distilleries | 4 | $4.6M |
| Chicken Egg Production | 2 | $4.4M |
| Fitness and Recreational Sports Centers | 14 | $4.4M |
If your business operates in one of Kentucky’s top-funded industries, you’re in a strong position. Lenders who have funded dozens of similar businesses in your state understand the unit economics, seasonal revenue patterns, and typical margins for your sector. This familiarity translates into faster approvals, less documentation back-and-forth, and more accurate risk pricing — which typically means better terms for the borrower.
Even if your industry isn’t listed above, SBA 7(a) loans are available for nearly every legal business type. An SBA loan broker can identify which lenders have the most experience with your specific industry.
Top Cities for SBA Loans in Kentucky
SBA lending activity within Kentucky is concentrated in major metropolitan areas, but businesses in smaller cities and towns also receive significant funding. The table below shows where in Kentucky the most SBA 7(a) loans were funded in 2025:
| City | Loans | Volume |
|---|---|---|
| Louisville | 158 | $79.0M |
| Lexington | 57 | $28.6M |
| La Grange | 12 | $14.9M |
| Elizabethtown | 10 | $11.4M |
| Owensboro | 9 | $11.3M |
| Paducah | 18 | $8.9M |
| Bowling Green | 24 | $6.1M |
| Independence | 5 | $6.1M |
| Shepherdsville | 4 | $6.0M |
| Crestwood | 8 | $5.0M |
How to Get an SBA Loan in Kentucky
Option 1: Apply directly to one of the top Kentucky lenders above. You’ll get a single quote from one bank.
Option 2: Use an SBA loan broker (recommended). GoSBA Loans submits your application to multiple Kentucky-active lenders simultaneously, creating competition for your deal. Better rates, faster approvals — at no cost to you.
Frequently Asked Questions
How many SBA loans were funded in Kentucky in 2025?
What is the average SBA loan interest rate in Kentucky?
Can I get an SBA loan to start a business in Kentucky?
Who is the top SBA lender in Kentucky?
What industries get the most SBA loans in Kentucky?
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Data sourced from official SBA 7(a) FOIA loan approval records for Calendar Year 2025, published by the U.S. Small Business Administration. For official information, visit sba.gov.
