Live Oak Banking Company SBA 7(a) Lending Program

Live Oak Banking Company is one of the largest SBA 7(a) lenders in the United States, ranking #1 nationally by total SBA loan volume in 2025. With $2.85B approved across 2,280 SBA loans, Live Oak Banking Company is a dominant force in the SBA lending market — supporting an estimated 40,152 jobs through government-guaranteed small business financing.

With an average SBA 7(a) rate of 9.34%, Live Oak Banking Company prices slightly below the national average of 10.32%. This 0.98% advantage may not seem dramatic, but over a 10-year SBA loan on a $500K deal, it translates to roughly $49,000 in interest savings.

Their SBA lending is concentrated in California, Texas, Florida, with notable SBA loan volume in industries like Offices of Dentists, Veterinary Services, Limited-Service Restaurants. The data below is sourced entirely from official SBA FOIA records and covers Live Oak Banking Company’s SBA 7(a) lending activity for calendar year 2025 — not their conventional lending or other banking products.

Live Oak Banking Company Total SBA Lending: 2025 and the 6-Year Track Record

In fiscal year 2025, Live Oak approved 2,280 SBA 7(a) loans totaling $2.85B, its biggest year ever and the #1 volume of any SBA lender in America. That was no fluke: here is the complete approval history since FY2020, straight from SBA FOIA records, 9,674 loans and $13.35B in all, supporting an estimated 172,801 jobs.

Live Oak grew volume +44% year-over-year in FY2025 Expanding and has never approved less than $1.4B in any year since 2020. Against the average SBA lender they are an outlier on every axis: their 9.34% average 2025 rate beat the 10.32% national average by nearly a point, and their $1.3M average loan runs 2.6x the $478K national average, this is a bank built for substantial deals, not microloans.

Where the 2025 Dollars Went

Each of these borrower types gets its own deep dive below: acquisitions (the flagship), start-ups, existing businesses, and real estate.

SBA fiscal years run October–September. FY2026 shown through March 31, 2026 (first two quarters). Hover any stat for methodology.

Buying a Business with an SBA Loan from Live Oak

This is what Live Oak is best known for, and the numbers back it up. In FY2025 they funded 769 business acquisitions totaling $993M, more change-of-ownership loans than any other SBA lender in America. Acquisitions make up 43% of everything Live Oak does, 4x the national average of 10%.

Acquisition Lending by Year

Acquisition funding at Live Oak has been remarkably steady, between $700M and $1.1B every single year through rate hikes and rate cuts alike, with FY2025 the strongest yet. For a buyer, consistency matters: a lender that never left the acquisition market will not suddenly discover “credit concerns” with your industry the way fair-weather banks do.

What a Typical Live Oak Acquisition Looks Like

Where the buyers are: California (523) · Texas (411) · Florida (358) · North Carolina (295) · Colorado (170) · Georgia (153). Live Oak underwrites acquisitions nationally, so a strong deal in Idaho gets the same look as one in Dallas.

Acquisition Pricing vs the Market, Year by Year

The same spread-over-Prime view as the overall chart, but change-of-ownership loans only, Live Oak against every other lender’s acquisition pricing:

Live Oak priced acquisitions at or better than market every single year, and has held a 40-50 bps edge since FY2023.

Acquisition Pricing by Deal Size

Acquisition loans price differently than the rest of the book. Here is Live Oak’s average spread on change-of-ownership deals by size, against all lenders’ acquisition pricing:

Two things stand out. Under $500K, Live Oak prices at market, small acquisition loans are commodity-priced everywhere. From $1M up, they beat the market by 20-35 bps. If your deal is $1M+, Live Oak belongs on your term-sheet shortlist for pricing alone.

Acquisition Industries Where Live Oak Leads the Nation

Based on change-of-ownership loans over the last 3 years, Live Oak ranks #1 among all 1,300+ SBA lenders in these industries. If you are buying a business in one of them, they have likely funded more deals like yours than anyone (click an industry for our full lender ranking in that niche):

Recent Business Acquisitions Funded by Live Oak

Proof beats promises. These are the 60 most recent change-of-ownership SBA 7(a) loans Live Oak approved, from SBA public records. Filter by state, industry, or deal size:

60 of 60 recent acquisitions shown

Live Oak SBA Interest Rates Over Time: Prime + Spread

SBA 7(a) rates are quoted as a spread over the Prime rate, so that is how you should compare lenders. The absolute rate mostly reflects when the loan closed, the spread reflects how the lender priced you. Here is Live Oak’s median spread by year against the median of all SBA lenders (small gray figures show the median all-in rate each year):

Live Oak has priced below the national median every year since FY2020, and the gap widened sharply from FY2023 onward, reaching a full 100 bps in FY2025 (Prime + 1.75% vs Prime + 2.75% nationally).

Pricing by Loan Type

Each loan type prices differently, and Live Oak’s edge over the market varies a lot by type (each row compares against all lenders’ pricing for that same loan type, FY2020-2026):

The standouts: start-ups get Live Oak’s sharpest discount (a full point below the market’s startup pricing) and real-estate-backed deals get their lowest absolute pricing at Prime + 1.00%. Click a loan type to jump to its full breakdown.

Pricing by Loan Size

Below the national average in every size bracket, with the discount growing as loans get bigger.

Like most of the 7(a) market, Live Oak lends overwhelmingly at variable rates tied to Prime (about 99% of 2025 loans, which adjust quarterly as Prime moves). But they also wrote 844 fixed-rate loans since FY2020 (median 5.50%, range 2.00%–11.25%), a rarity in the program worth asking about if you want payment certainty. New to how 7(a) pricing works? Start with our complete SBA 7(a) guide.

Run Your Deal Against Live Oak’s Data

Two quick tools built on the same SBA records as everything above. Estimates only, your actual quote depends on credit, collateral, and how well your package is presented.

Estimator assumes monthly amortization at Prime + Live Oak’s median spread for the loan type, WSJ Prime editable above (6.75% as of the March 2026 data). Deal-fit counts are Live Oak approvals April 2025 – March 2026; industry spreads are FY2020-2026 medians. Get real term sheets here.

Live Oak Banking Company SBA Loan Reviews

Live Oak Bank has one of the strongest review profiles among SBA lenders, with a 4.6/5 Trustpilot rating across 1,878 reviews. SBA borrowers consistently praise the bank’s organized process and responsive loan officers.

Reviews sourced from Trustpilot, BBB, and other public review platforms. Individual experiences may vary. GoSBA Loans is not affiliated with Live Oak Banking Company.

Start-Up Business Loans at Live Oak

Startups are the hardest SBA deals to place, most banks want 2+ years of tax returns before they will look at you. In FY2025 Live Oak funded 486 true start-ups totaling $787M, and 1,533 ($2.53B) since FY2020, plus another 590 young businesses under 2 years old. Startup borrowers are not punished on price here: the median startup spread of Prime + 1.50% beats the market’s startup pricing by a full point.

Startup Pricing vs the Market

This chart is Live Oak’s quiet superpower: while the market has charged startups Prime + 2.25-2.50% for six straight years, Live Oak has been roughly a full point cheaper since FY2023. Where the startup dollars go, heavily into franchise-style and licensed-professional openings where projections are backed by industry playbooks (click through for our lender rankings per industry):

If you’re launching in one of these categories, Live Oak has seen your business plan before. Launching in something less proven? Expect heavier scrutiny of projections and your own industry experience, and consider lenders who specialize in your concept.

SBA Loans for Existing Businesses at Live Oak

Established businesses (2+ years of operating history) are the bread and butter of SBA lending and Live Oak’s largest single category: 869 loans ($943M) in FY2025 and 3,379 ($4.27B) since FY2020. These loans fund expansions, equipment, partner buyouts, refinances, and working capital, and they get the smoothest underwriting because the lender can read actual financial performance instead of projections.

Existing-Business Pricing vs the Market

The professional-practice tilt is unmistakable, dentists, insurance agencies, and veterinarians dominate:

Note the median existing-business loan ($640K) is much smaller than the acquisition median ($950K), if you’re an owner who needs $250K–$750K of growth capital, you’re squarely in Live Oak’s existing-business lane.

Commercial Real Estate SBA Loans at Live Oak

SBA 7(a) loans max out at 10-year terms unless the deal is primarily commercial real estate, where terms extend to 25 years. That makes loan term a reliable fingerprint for real-estate-backed deals. By that measure, Live Oak funded 533 real estate deals totaling $1.33B in FY2025, and 2,627 ($5.93B) since FY2020, 27% of everything they do.

Real Estate Pricing vs the Market

Real estate collateral earns the sharpest pricing at Live Oak, and it keeps getting sharper: down to a median of Prime + 0.50% in FY2025 against a market at Prime + 1.50%. The typical deal: a practice or facility owner buying their building, or asset-heavy businesses like these:

If your acquisition or expansion includes the building, ask specifically about 25-year blended terms, stretching amortization is often worth more to monthly cash flow than a rate concession. Buying property-heavy businesses like self-storage or assisted living? This is one of the deepest 7(a) real estate books in the country.

Loan Terms at Live Oak: Working Capital vs Real Estate

The 7(a) program sets maximum terms by use of proceeds: 10 years for working capital, acquisitions, and goodwill, up to 25 years when the loan is primarily commercial real estate. Live Oak’s book splits cleanly along those lines:

Two practical takeaways. First, if your deal includes real estate, make sure your lender structures it that way, the 100 bps pricing gap plus 25-year amortization dramatically improves monthly cash flow. Second, Live Oak beats the market on both sides of this split, 75 bps better on working capital and 75 bps better on real estate.

Live Oak Default Rates & Loan Performance

A lender’s default history tells you how well they underwrite, and how they’ll scrutinize your deal. Looking at Live Oak’s fully-seasoned FY2010–2019 loan cohort (6,655 loans, now old enough to show true outcomes), 2.4% were charged off, a lower default rate than roughly 75% of active SBA lenders.

Their recent book (FY2020–present) is performing even better so far:

Across $13.35B approved since FY2020, only $23M has been charged off (0.17% of dollars). Why should a borrower care? Low-default lenders keep their SBA delegated authority, keep rates competitive, and stay in the market through downturns. It also means their underwriting has teeth, projections alone won’t carry a weak deal.

Charge-off rates exclude cancelled and undisbursed commitments. FY2010–2019 cohort used for the seasoned default rate because recent loans haven’t had time to fail.

Live Oak Loan Size Distribution: Where Your Deal Fits

Averages hide the real story. In FY2025 Live Oak’s median loan was $500K against an average of $1.3M, meaning half of all loans were under $500K while a smaller number of large deals pulled the average up. The full FY2020–2026 distribution:

Practical read: whether you need a $150K working-capital loan or a $5M acquisition, Live Oak funds deals at your size every week. The $1M–$2M bracket is the volume sweet spot, receiving more total dollars than any other, big enough for their relationship teams, standard enough to move fast.

Top Industries Funded by Live Oak in 2025

Industry specialization is one of the most underrated factors in SBA lending. A lender who has funded 50 dental practices understands the economics of that business model far better than one processing their first dental deal. Live Oak’s top 15 industries by FY2025 dollar volume, with the median rate borrowers in each industry actually paid (click an industry for our full lender ranking in that niche):

FY2025 approvals. Median rate is the initial note rate; hover a rate to see it relative to today's Prime.

Top Franchises Financed by Live Oak

Franchise resales and new-unit financing are their own discipline: FDD reviews, franchisor approval, territory analysis. Live Oak’s most-financed franchise brands since FY2020:

Where Live Oak Lends: Every State, Every Loan Type

Depth of activity by state since FY2020. Hover any state for loan count, volume, and median interest rate; click through for our full ranking of SBA lenders in that state:

The full state-by-state breakdown, FY2020 through March 2026. Click a column header to sort, so you can see the top acquisition states, top startup states, or lowest median rates at a glance. Every state links to our ranking of the best SBA lenders there:

Counts are FY2020 – March 2026 approvals by project state. Acquisitions = change of ownership; Start-Ups = funds used to open the business; Existing = businesses 2+ years old.

How to Get an SBA Loan Through Live Oak Banking Company

There are two primary ways to access Live Oak Banking Company for an SBA 7(a) loan, and the path you choose can significantly impact your rate, terms, and timeline:

Option 1: Apply directly to Live Oak Banking Company. You can contact Live Oak Banking Company’s commercial lending team and submit an SBA 7(a) application. This approach is straightforward — you work with one bank, one loan officer, and receive a single offer. The advantage is simplicity. The disadvantage is that you have no way to know whether Live Oak Banking Company’s terms are competitive without a reference point. You’re essentially accepting whatever rate and terms they offer.

Option 2: Use an SBA loan broker (recommended). An SBA loan broker like GoSBA Loans submits your application to Live Oak Banking Company and 50+ other SBA lenders simultaneously. Instead of one quote, you receive 3-5 competing term sheets. This fundamentally changes the negotiation dynamic — lenders know they’re competing for your business, which drives rates down and speeds up processing. The broker’s service is completely free to borrowers because lenders pay the broker origination fee.

What to prepare: Regardless of which path you choose, Live Oak Banking Company will typically require 2-3 years of business and personal tax returns, a 10% equity injection, a personal financial statement (SBA Form 413), and details about the business or property you’re acquiring. For acquisitions, you’ll also need the seller’s financial records and a signed Letter of Intent.

Frequently Asked Questions

Live Oak Banking Company SBA Alternatives

While Live Oak Banking Company is a strong SBA lender ranked #1 nationally, many borrowers benefit from comparing offers across multiple banks. Each SBA lender has different rate spreads, industry preferences, geographic focus areas, and appetite for startups vs. existing businesses. The lenders below represent the top SBA 7(a) lenders in the country by total loan volume — any of them could be a viable alternative depending on your specific deal:

• #2 The Huntington National Bank — $2.09B funded across 6998 loans
• #3 Newtek Bank, National Association — $2.03B funded across 4828 loans
• #4 Northeast Bank — $1.32B funded across 7815 loans
• #5 Readycap Lending, LLC — $1.17B funded across 3137 loans
• #6 U.S. Bank, National Association — $871.2M funded across 3453 loans
• #7 First Internet Bank of Indiana — $712.3M funded across 487 loans
• #8 Celtic Bank Corporation — $592.9M funded across 1482 loans
• #9 JPMorgan Chase Bank, National Association — $590.5M funded across 1914 loans
• #10 Byline Bank — $561.1M funded across 505 loans
• #11 GBank — $552.4M funded across 205 loans

The best way to determine which lender is the right fit for your deal is to submit a single application through an SBA loan broker like GoSBA and let multiple lenders compete for your business. This way you see actual term sheets from Live Oak Banking Company and its competitors — side by side — before making a decision.

View All Top SBA Lenders →

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 SBA program information, visit sba.gov.