What are SBA loan rates in September 2026?
As of September 2026 the Prime Rate is 6.75%. SBA 7(a) variable rates are capped at Prime plus a spread that narrows as the loan gets larger: 13.25% on loans of $50,000 or less, 12.75% from $50,001 to $250,000, 11.25% from $250,001 to $350,000, and 9.75% above $350,000. SBA 7(a) fixed rates run from 14.75% on loans of $25,000 or less down to 11.75% on loans of $250,001 or more. SBA 504 rates typically run 5% to 7%. Because variable rates are tied to Prime, every change in the Prime Rate moves these ceilings with it.
Current rates
SBA loans are made by lenders and partially guaranteed by the Small Business Administration. The SBA does not set the rate, but it does cap it — which is why these are ceilings rather than quotes.
7(a) variable rates
| Loan size | Maximum spread over Prime | Maximum rate today |
|---|---|---|
| $50,000 or less | Prime + 6.5% | 13.25% |
| $50,001 to $250,000 | Prime + 6.0% | 12.75% |
| $250,001 to $350,000 | Prime + 4.5% | 11.25% |
| $350,001 or more | Prime + 3.0% | 9.75% |
7(a) fixed rates
| Loan size | Maximum fixed rate |
|---|---|
| $25,000 or less | 14.75% |
| $25,001 to $50,000 | 13.75% |
| $50,001 to $250,000 | 12.75% |
| $250,001 or more | 11.75% |
504 rates
SBA 504 loans, used for real estate and major fixed assets, typically run 5% to 7%. They are priced off long-term bond yields rather than Prime, which is why they sit below 7(a) pricing and move on a different cycle.
Rates verified against published September 2026 figures. Prime moves when the Federal Reserve moves; the variable ceilings above move with it on the same day.
How SBA rates are set
Three things determine your rate inside the ceiling.
- Loan size. The permitted spread narrows as the loan grows, so larger loans are cheaper per dollar. This is mechanical, not negotiable.
- The lender. Within the cap, the lender prices for its own risk and cost of funds. Two lenders can quote materially different rates on the same file.
- Your file. Credit score, time in business, debt service coverage and collateral all move you within the band.
A variable rate is quoted as Prime plus a spread, so it adjusts over the life of the loan. A fixed rate is higher at the outset and does not. Which is better depends on your view of where Prime goes, and on whether your business can absorb a payment that rises.
Which SBA programme fits
| 7(a) | 504 | |
|---|---|---|
| Typical use | Working capital, equipment, acquisition, refinancing | Owner-occupied real estate and major fixed assets |
| Rate basis | Prime plus a capped spread, or fixed | Long-term bond yields |
| Rate today | 9.75% to 14.75% depending on size and structure | About 5% to 7% |
| Term | Up to 10 years for most uses, up to 25 for real estate | 10, 20 or 25 years |
If you are financing a building, 504 is almost always the cheaper route. For everything else, 7(a) is the workhorse.
What SBA pricing costs you in speed
SBA capital is the cheapest we arrange, and it is the slowest. Expect 30 to 60 days to fund, two years of trading history, annual revenue of $200,000 or more, a credit score from 680, and no bankruptcies or outstanding collections. You will produce two years of business and personal tax returns, bank statements, a profit and loss statement and a voided business check.
That is the right trade for a planned investment. It is the wrong trade for a cash flow gap that closes in three weeks, which is what the faster products exist for — at a cost that reflects the speed. If you are not sure which side of that line you are on, the useful question is whether the money is funding an opportunity you chose or a shortfall that chose you.
Common questions
What is the maximum SBA 7(a) interest rate right now?
With the Prime Rate at 6.75% in September 2026, SBA 7(a) variable rate ceilings are 13.25% on loans of $50,000 or less, 12.75% from $50,001 to $250,000, 11.25% from $250,001 to $350,000, and 9.75% above $350,000. Fixed rate ceilings run from 14.75% on the smallest loans down to 11.75% on loans of $250,001 or more.
Are SBA rates fixed or variable?
Both are available. Variable rates are quoted as Prime plus a capped spread and adjust over the life of the loan, so they start lower and can rise. Fixed rates start higher and do not move. The choice depends on your view of Prime and on whether your business can absorb a payment that increases.
How long does an SBA loan take to fund?
Expect 30 to 60 days. SBA underwriting is thorough and the documentation requirement is substantial: two years of business and personal tax returns, bank statements, a profit and loss statement and a voided business check. If you need capital inside a week, an SBA loan is not the product.
Why is my SBA quote below the maximum rate?
The SBA caps the rate rather than setting it. Within the cap, the lender prices for its own cost of funds and for the risk in your file, so credit score, trading history, debt service coverage and collateral all move you within the band. Larger loans also carry a narrower permitted spread, which makes them cheaper per dollar borrowed.
Sources
- SBA Loan Rates, updated 1 September 2026 — NerdWallet
- Current SBA Loan Interest Rates, September 2026 — Lendio
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