SBA Small Business Loans 2024

Compare government-backed SBA loans for your business without impacting your credit score.

Enter loan amount
Our Lending Partner Network
SBA Loans

How to Get an SBA Loan for Your Business Needs

The Small Business Administration is a government agency that provides help and expertise to small businesses in the US. One of the ways the SBA helps small businesses is by helping them secure funding at lower rates.

Get started an apply for an SBA loan:

Fill out a simple and fast online application in just minutes

Compare best business loan rates and choose your offer

Receive funds from $5K - $1,000,000+ towards your business needs

Absolutely no negative impact on your credit score, ever.

Compare SBA Loan Rates & Apply

What is an SBA loan?

An SBA loan is a business loan that is partially guaranteed by the U.S. Small Business Administration. The government guarantee reduces the risk for banks and lets them lend to small business owners who wouldn’t otherwise qualify for a regular bank loan.

How do SBA loans work?

The SBA works with an approved selection of banks that lend money to small businesses. Through the SBA, this is done with better terms as the SBA partially guarantees the loans to small businesses. In other words, the SBA backs up a portion of the loan that the business receives, so if the borrower can’t pay back the loan, they’ll cover the amount that they guaranteed.

Types of SBA loans

There are several types of SBA loans:

  • SBA 7(a) loan: if you’re thinking about applying for a 7(a) standard loan, the turnaround time can be as fast as 5 working days. The most you can borrow with a standard 7(a) loan is typically $5 million. The SBA guarantees this sort of loan for up to 85% for loans below $150,000 and 75% for loans above $150,000. Lenders and borrowers often negotiate interest rates, but this percentage might not be more than the SBA maximum rate (8.25% to 11.25% depending on the loan amount).
  • SBA CDC/504 loan: the 504 loan provides long-term, fixed-rate funding of up to $5M. These loans are available to secure major fixed assets that will facilitate business growth and create jobs, such as new buildings, facilities, and large pieces of equipment. It can be also used for improvement of existing property.
  • SBA microloan: this loan aims to provide funding for micro-level loans to help newly established and growing businesses thrive. You can borrow up to $50,000 with this program, though the average amount is $13,000. Each lender has their own requirements, but most require some collateral as well as a personal guarantee by the business owner.
  • SBA expense loan: there is no specific SBA loan for expenses, but both the SBA 7(a) loans and the microloans can be used to cover expenses.
  • SBA disaster loan: the SBA provides low-interest loans to help businesses (and homeowners) recover from disasters. While this has most recently been used to recover after the pandemic, it was originally provided to help businesses recover in declared disaster areas, such as civil unrest, flooding, wildfires, and other natural disasters.

Where to find SBA loans

SBA Loans


Get funded up to $5 million
Loan term: up to 30 years
Monthly repayment terms
Best for: business expenses & expansion
SBA Loans


Get funded up to $20 million (varies by industry)
Loan term: 2 - 25 years
Monthly repayment terms
Minimum credit score: 650
Best for: real estate, working capital, debt consolidation
SBA Loans


Get funded from $30,000 - $5,000,000
Loan term: 10 - 25 years
Monthly repayment terms
Minimum credit score: 640
Best for: working capital and commercial real estate
SBA Loans
Funding Circle

Funding Circle

Get funded from $25,000 - $500,000
Loan term: 10 years
Monthly repayment terms
Minimum credit score: 650
Requires 2 years of income and $400k revenue
SBA Loans


Get funded from $50,000 - $5 million
APR varies depending on program
Loan term: 10 - 30 years
Monthly repayment terms
Receive funds within 1-2 months after approval
Great for business expansion, debt consolidation, equipment financing

How long does it take to get approval on an SBA loan?

This is the biggest downside when it comes to SBA loans. While you get lower interest rates than online lenders and better chances of getting approved than a traditional bank loan, most SBA loans take 2-3 months to get approved for.

Pros and cons of SBA loans


  • Much lower interest rates than you’ll get elsewhere
  • Better chances of being approved
  • Most growing businesses are eligible
  • Higher amounts offered than with other loans
  • Support is available for advice


  • They take a long time to get approved
  • If you get refused you may have wasted a lot of time
  • Collateral and personal guarantees are often required
  • They aren’t usually available for new businesses (need around 2-3 years of business under your belt)
  • You typically need to make a down payment
  • You generally need a very good credit score to get approved

SBA loan payment calculator

Estimate monthly payments on an SBA loan by trying our calculator.

How much do you need to borrow?


Total Payment


Total Interest


Monthly Payment


Ready to get funded?

Compare personalized business loan rates from top lenders with no impact on your credit, ever.

Find Your Personalized Rate

Need help finding the right loan?

No worries, we've got you covered! Compare personalized loan options in just minutes without impact on your credit score.

How Pasha Funding Works

How it Works
Apply in minutes

Get pre-qualified in minutes and compare offers from top lenders.

Choose your offer

Compare and choose an offer that works best for you based on your timeline and budget needs.

Get funded

After your loan is approved with the lender of your choice, receive your funds.

Compare Business Loan Offers

What down payment is required to obtain an SBA loan?

A down payment of 10-30% is usually required to obtain an SBA loan, though this does vary depending on your circumstances and the type of loan or program you’re looking to secure.

What are the requirements to obtain an SBA loan?

The exact requirements you need to meet will depend on your personal circumstances and the type of loan you want to obtain. That said, you’ll need:

  • Looking to borrow between $5,000 and $5 million
  • Want to borrow over 10 years (or 25 years for real estate)
  • To operate a for-profit business
  • Operate your business in the US
  • Have explored alternative funding before seeking financial assistance
  • Are facing no criminal charges
  • Have fewer than 500 employees
  • Less than $7.5 million in revenue for the past 3 years
  • Net income under $5 million
  • Tangible net worth under $15 million
  • You can’t have any delinquent debts

You’re also much more likely to be approved if:

  • You have a credit score over 680
  • No recent history of bankruptcies, foreclosures, tax liens
  • Have been in business for 2 years or more
  • Can provide collateral for your loan if it’s for more than $25,000
  • You can make a 10% down payment
  • You can prove your current cash flow and have good forecasts
  • You have “good character” according to the SBA (essentially means you’re a good and moral business person)

What minimum credit score do I need to qualify for an SBA loan?

There is no official minimum credit score, but you’re unlikely to get approved if your credit score is under 680, especially if it’s low due to recent financial difficulties.

How to qualify for an SBA loan

To qualify for an SBA loan, you’ll need to:

  • Have a good personal and business credit score – your personal score should be 680 or higher before you think about applying for an SBA loan.
  • Know your preferred lender’s minimum requirements and meet them - these are usually the same as those outlined for the SBA’s eligibility requirements, but they do sometimes differ, so do your research.
  • Have a strong business plan and a clear purpose for the money you wish to borrow – if you don’t have your business plan down on paper and ready to share with others, consider working with an expert business plan writer to develop your plan. This will show any potential lender that you are serious about your business’s growth and have a good plan for how you will use your funding to grow your business.
  • Have strong financial documents showing your revenue, money management, and cashflow forecast. Here are some of the documents you’ll need:
    • Personal tax return(s)
    • Business tax returns
    • Your balance sheet and income statement
    • You may need personal bank statements
    • Business bank statements
    • A photocopy of your ID
    • Any relevant titles, deeds, or commercial leases
    • Your business licenses
    • Proof of incorporation
    • Details of your business experience (this is usually included in the business plan)
    • Your financial projections
  • Be able to provide collateral for the loan – this is necessary if you’re borrowing more than $25,000. If you are one of many owners, each owner must put up some collateral or a personal guarantee. It’s best to check with the lender you’re working with as some are strict here, while others require very little.

How to apply for an SBA loan

When you’re ready to start your application, make sure you meet the right eligibility requirements and have the majority (if not all) of your required documents ready to share. You’ll then need to find a local or online SBA lender to work with. This process is the same as when you look for any other funding, you simply need to do your research, compare rates, fees, and requirements, and find the lender you’d most like to work with. Start with the lenders in our comparison tables and expand your search from there. When you find one you’d like to work with, you can start your application.

Remember that applying for an SBA loan is not a fast process – while you may be able to attain your loan within a few weeks, it may take months. If you need to find funding in a shorter time frame, look at alternative business loans that are not secured by the SBA.

Popular Business Funding Options

Get Fast Funding For Your Business

Compare business loans from top lenders without negative impact on your credit score.

Business Loans By Credit

Business Loans for Fair Credit
Business Loans for Good Credit
Business Loans for Excellent Credit

*Disclaimer: does not function as a lender. The offers provided on this website are provided solely by third parties, who compensate for their inclusion. We would like to emphasize that will not contact you regarding any loan application resulting from the aforementioned offers, and we will never request financial information or any sensitive personal data via phone, email, or any other means.

REMEMBER, it is essential to exercise caution and never share any financial information or sensitive personal data over the phone or via email without independently verifying the identity of the company initiating the communication first!