Although the guarantee incentives lenders to work with small businesses, it can still be hard to qualify for SBA 7(a) loans. Lenders generally require a good personal credit score (690+), two or more years in business, and strong annual revenue for 7(a) loan applications.
Who are SBA 7 a lenders?
The Best SBA Lenders for the SBA 7(a) Loan Program
- Live Oak Banking Company.
- The Huntington National Bank.
- Celtic Bank Corporation.
- Newtek Small Business Finance.
- Byline Bank.
- Wells Fargo Bank.
- Readycap Lending.
- Key Bank.
How long does it take to get a SBA 7a loan?
about two to three months
An SBA 7(a) loan usually takes about two to three months to be approved. If you have the option of working with an SBA Preferred Lender, your application may be approved much faster, comparatively speaking. Of course, the exact time it will take to be approved depends highly on you and your lender.
How big of an SBA loan can I get?
Standard 7(a)
| Maximum loan amount | $5 million |
|---|---|
| Maximum SBA guarantee % | 85% for loans up to $150,000 and 75% for loans greater than $150,000 |
| Interest rate | Lenders and borrowers can negotiate the interest rate, but it may not exceed the SBA maximum |
What are the qualifications for a SBA 7a loan?
How do I qualify for an SBA 7(a) loan?
- Be a for-profit business located in the U.S.
- Meet the SBA size standards as a small business (varies by industry)
- Not be able to qualify for similar credit elsewhere.
- Not operate in an ineligible industry, including certain passive businesses.
Can I use my SBA loan for anything?
SBA loans and SBA express loans can be used for a wide range of expenses. According to the SBA, you can use these loans for “most” business purposes, including start-up, expansion, equipment purchases, working capital, inventory or real-estate purchases.
What can I use the SBA 7a loan for?
What can an SBA 7(a) loan be used for?
- Acquire land (lease or purchase) for an eligible project.
- Improve a site (e.g., grading, streets, parking lots, landscaping) including up to 5 percent for community improvements such as curbs and sidewalks.
- Purchase one or more existing buildings.
