SBA Loan Calculator

How to use this calculator

1. Pick the SBA program: 7(a), SBA Express, 504 or Microloan.
2. Enter the loan amount and the interest rate your lender quoted. For 7(a) and Express loans, say whether the rate is variable or fixed: the calculator shows SBA’s cap for that loan size and warns you if the quote is above it.
3. Choose the loan purpose, which sets the term: 10 years for working capital or equipment, 25 for real estate. Pick “Custom term” for anything else.
4. Under Fees, mark any fee relief you qualify for and add other closing costs you’ll pay out of pocket.

You get the monthly payment, total interest, the SBA guaranty fee, the effective APR and a year-by-year schedule.

The formula

SBA loans use a standard level payment. With P the loan amount, r the annual rate divided by 12 and n the number of monthly payments:

The effective APR is the rate at which those payments are worth exactly the cash you keep after upfront fees, the actuarial method lenders use for Truth in Lending disclosures. For a 504 loan, the fees are added to the loan instead, so you repay them with interest.

Worked example: a $500,000 7(a) loan

You borrow $500,000 for working capital over 10 years at 10% variable, the most a lender can charge on a loan this size with Prime at 7%.

• Monthly payment: $6,607.54 for 120 months, $292,904 in total interest.
• Guaranty fee: SBA guarantees 75%, or $375,000. The fiscal 2027 fee is 3% of that: $11,250.
• Effective APR: with the fee paid from the proceeds, you keep $488,750, so the loan costs 10.55% a year.

If the same loan financed real estate over 25 years, the payment drops to $4,543.50, but total interest rises to $863,055. The fee is the same, and spread over more years it adds less to the APR: 10.30%.

FY 2027 guaranty fees by loan size

7(a) loans with terms over 12 months approved October 1, 2026, through September 30, 2027. The size tier uses the full loan amount; the fee is charged on the guaranteed portion.

SBA Express loans use the same fee tiers but carry a 50% guarantee, so a $150,000 Express loan pays $1,500. Loans with terms of 12 months or less pay 0.25% of the guaranteed portion.

Maximum interest rates in November 2026

SBA caps the rate a lender may charge at a spread over the Prime rate in effect on the first business day of the month. Prime was 7.00% for November 2026.

Since March 1, 2026, lenders may also base variable rates on the 5- or 10-year Treasury rate or SOFR, but the result still can’t exceed Prime plus the spread above. Variable rates reset as Prime moves; on the $500,000 example, each 1-point rise adds about $280 to the monthly payment.

The four programs

• 7(a) is SBA’s main program: up to $5 million for working capital, equipment, real estate, refinancing or buying a business. If you’re comparing it with a bank or online lender’s term loan, run that offer through the business loan calculator.
• SBA Express loans go up to $500,000 with faster approval, in exchange for a smaller 50% guarantee.
• 504 loans finance real estate and long-lived equipment. A bank typically lends about 50% of the project, a Certified Development Company (CDC) up to 40% through an SBA-backed debenture, and you put in at least 10%. The rate is fixed, set when the debentures are sold each month. On a $1,000,000 CDC portion over 25 years, the 0.5% SBA fee, 0.25% funding fee, 1.5% CDC processing fee, $2,500 of closing costs and a 0.4% underwriter’s fee bring the debenture to $1,030,000. At a 6.75% effective rate, that’s $7,116.39 a month, an effective APR of 7.07%. Remember the separate bank loan payment, too.
• Microloans of up to $50,000 come from nonprofit intermediary lenders and must be repaid within 7 years. SBA says rates are generally 8% to 13%; by regulation they can’t exceed the intermediary’s own SBA borrowing cost plus 7.75 points (8.5 points on loans of $10,000 or less). There’s no SBA guaranty fee.

Tips

• Check the quote against the cap. Most 7(a) loans are priced at or near the maximum; a lower spread is worth negotiating.
• Ask whether the fee is financed. Financing it keeps cash in the business but means paying interest on the fee.
• Model a rate rise on variable loans by adding a point or two to the rate.
• Make sure the payment fits your cash flow. A break-even calculator shows how many sales cover a new fixed payment, and an ROI calculator helps judge whether the investment pays for itself.

Assumptions and limitations

Payments are level and monthly, with interest at the annual rate divided by 12, and the rate is assumed constant for the whole term. The 7(a) guaranty fee is treated as paid from the loan proceeds at closing; the 504 fees are financed into the debenture as the SOP describes, with the entered rate treated as the CDC’s all-in effective rate. The calculator doesn’t model interest-only periods, construction draws, the 90-day rule for combining loans, prepayment penalties or the separate bank loan in a 504 project. Fees and rates are those published for loans approved in fiscal year 2027.

Sources

• SBA Information Notice 5000-881797: 7(a) Fees Effective October 1, 2026 for Fiscal Year 2027
• SBA Information Notice 5000-881796: 504 Fees for Fiscal Year 2027
• SBA SOP 50 10 8.1, Lender and Development Company Loan Programs (effective October 1, 2026)
• Federal Register: Maximum Allowable 7(a) Fixed Interest Rates (87 FR 46883, August 1, 2022)
• Federal Register: 7(a) Alternative Base Rate Options (91 FR 5805, February 10, 2026)
• SBA Fiscal Transfer Agent wiki: Prime rate and maximum allowable fixed rates, November 2026
• SBA: 7(a) loan terms, conditions and eligibility
• SBA: Microloans and 13 CFR 120.707

These are estimates for comparing options. Your lender’s loan documents and disclosures set the actual rate, fees and payment.

Updated November 2026. Results are estimates for educational purposes and depend on the inputs you provide.