Estimate the monthly payment, total interest, and total repayment on an SBA 7(a), Express, 504, or microloan. Adjust the amount, rate, and term to see how each one moves the payment before you ever speak to a lender.
This is an estimate, not an offer. The figures above are produced by a standard amortization formula from the numbers you entered. They are not a quote, a pre-qualification, or an indication that any loan will be approved.
Interest rates, fees, and approval decisions are made by the lender and the SBA. BKD Advisors is not a lender or a loan broker, does not guarantee financing, and makes no representation about the likelihood, amount, or timing of any loan. Your actual payment may be higher or lower than the figure shown.
Loan program limits, fee schedules, and maximum terms are set by the U.S. Small Business Administration and change over time. Confirm current figures at sba.gov.
SBA loan rates are negotiated between you and your lender, but the SBA caps how high they can go. Those caps are built on a base rate, most commonly the prime rate, plus a spread the lender is permitted to add. Because prime moves, so do SBA rate ceilings.
Rather than print a rate here that would be out of date within weeks, here is where to read today's figure at the source. The Federal Reserve publishes the bank prime loan rate in its H.15 Selected Interest Rates release, updated each business day; look for the line labeled "Bank prime loan." The Federal Reserve Bank of St. Louis shows the same series with the current value at the top of the page at FRED, series DPRIME, which is the easier of the two to read at a glance.
Knowing prime tells you where rate ceilings sit. It does not tell you your rate, which depends on your lender, your credit profile, your time in business, and the loan itself.
SBA lenders expect the borrower to put money into the deal, which is usually called an equity injection. Ten percent of the project cost is the common floor, and lenders frequently ask for more on business acquisitions, startups, and special-purpose real estate. The injection reduces what you borrow, which is why lowering it raises your payment and raises the total interest you pay.
The calculator defaults to ten percent and warns you if you go below it, but the requirement for your deal is set by your lender and the program rules, not by this tool.
It calculates principal and interest on a fixed-rate, fully amortizing loan, which is the structure most SBA term loans use. It does not include lender packaging or closing costs, appraisal or environmental reports on real estate deals, insurance, or any variable-rate adjustment. SBA loans tied to prime can adjust over the life of the loan, in which case your payment changes when the base rate changes.
The optional guaranty fee field exists because lenders often pass that cost through. Rolling it into the loan keeps cash in your pocket at closing and adds a little interest over the term. Paying it at closing costs cash up front and keeps the financed amount lower. The calculator shows you both.
