U.S. Small Business Administration (SBA) loans can be a great way for startups and other small business owners to access affordable financing. While the application process is often lengthy and competitive, SBA loans offer more affordable rates than many other forms of business financing.
These are the SBA loan interest rates you should know about before applying for financing:
SBA 7(a) (variable rates) | 7% – 9.5% |
SBA 7(a) (fixed rates) | 9.75% – 12.75% |
SBA Express | 9.25% – 11.25% |
CDC portion of CDC/504 | 4.922% – 5.20% |
SBA Microloan | 6% – 9% |
SBA Economic Injury Disaster Loan (EIDL) | 2.75% – 3.75% |
Estimated SBA loan rates as of July 2022
SBA loan rates vary based on a number of factors, including the loan program, amount and term. Most SBA rates are also linked to the prime, Treasury or other base rate, with maximum rates set at a specific amount above that base. Depending on the loan program, interest rates may be fixed or variable, and the lender may negotiate rates and the borrower or set by the SBA. Because of that, the best small business loans vary by borrower and loan type.