Estimate the monthly payment, total interest, and amortization schedule for an SBA 7(a) or 504 loan based on your loan amount, rate, and term.
A 7(a) loan is the SBA's most flexible program, usable for working capital, equipment, or real estate, typically through a single lender. A 504 loan is specifically for major fixed assets like real estate or large equipment and is structured through a bank loan plus a separate certified development company loan.
Terms vary by use: working capital SBA loans often run up to 10 years, while loans used to purchase real estate can extend to 25 years, reflecting the longer useful life of the asset being financed.
Because SBA loans are partially government-guaranteed, lenders can often offer comparatively favorable rates and terms versus a similar conventional loan, though SBA loans also involve more documentation and a longer approval process.