Unlock your business potential with comprehensive SBA financing solutions. Compare SBA 7(a) and SBA 504 loans to find the perfect funding for your business growth.
Small Business Administration (SBA) loans are government-backed financing options designed to help small businesses access capital when traditional bank loans aren't available. The SBA doesn't directly lend money but provides guarantees to approved lenders, reducing their risk and making them more willing to lend.
SBA loans typically offer lower interest rates compared to conventional business loans, saving you money over the life of the loan.
Extended repayment periods of up to 25 years for real estate purchases, allowing for lower monthly payments and improved cash flow.
Reduced down payment requirements, with some programs offering as little as 10% down for real estate purchases.
The SBA guarantee (up to 90%) provides lenders with security, making them more willing to approve loans for small businesses.
Use loan proceeds for various business purposes including working capital, equipment, real estate, refinancing, and business acquisitions.
Specifically designed to help small businesses grow and succeed, with programs tailored to different business needs and industries.
Let our SBA loan experts help you find the perfect financing solution for your business needs.
Get Pre-Qualified TodayUnderstanding the differences between SBA 7(a) and SBA 504 loans is crucial for choosing the right financing option for your business. Each program serves different purposes and has unique advantages.
General Purpose Business Financing
Up to $5 million
Up to 90% for loans under $150,000
Up to 85% for loans over
$150,000
• Working capital: Up to 10 years
• Equipment: Up to 10
years
• Real estate: Up to 25 years
Typically 10-15% (varies by use and borrower strength)
Working capital, equipment purchases, business acquisitions, refinancing, and real estate (when 504 isn't suitable)
Real Estate & Equipment Financing
Up to $5.5 million (higher for manufacturing and energy projects)
40% of project cost via SBA debenture at below-market fixed rates
• SBA portion: 10, 20, or 25 years
• Bank portion:
Typically 10 years
• Fixed rates on SBA portion
As little as 10% for owner-occupied real estate
Owner-occupied commercial real estate, major equipment purchases, and business facilities expansion
| Feature | SBA 7(a) | SBA 504 |
|---|---|---|
| Primary Use | General business purposes | Real estate & equipment only |
| Maximum Amount | $5 million | $5.5 million |
| Interest Rate | Variable or fixed | Fixed on SBA portion |
| Job Creation | Not required | Required (1 job per $85k) |
| Processing Time | 30-60 days | 60-90 days |
| Prepayment Penalty | Possible on larger loans | Yes, on SBA portion |
Understanding the requirements and application process helps ensure a smooth path to securing your SBA loan.
Gather all required documents and prepare your business plan.
Choose an SBA preferred lender and get pre-qualified.
Complete and submit the formal SBA loan application.
Lender reviews application and SBA provides guarantee approval.
Sign loan documents and receive funding.
Our SBA loan experts are here to guide you through every step of the process. Get pre-qualified today and discover which SBA loan program is right for your business.
Get preliminary approval in 24-48 hours
Work with experienced SBA loan specialists
We're an SBA Preferred Plus lender