SBA loan calculator
Estimate what an SBA 7(a) loan to buy a business will really cost: the upfront SBA guaranty fee, your monthly payment, total interest, and whether the business can cover the debt.
Your deal
Estimated cost
Most lenders look for a DSCR of about 1.15 to 1.25 after paying yourself a market salary. Below 1.00 the business cannot service the debt from its own cash flow.
SBA 7(a) upfront guaranty fee schedule used here
Fees effective for loans approved 1 October 2026 through 30 September 2027 (SBA Information Notice 5000-881797), charged on the guaranteed portion of the loan.
| Gross loan amount | Fee (maturity over 12 months) | Fee (12 months or less) |
|---|---|---|
| $150,000 or less | 2% of the guaranteed portion | 0.25% |
| $150,001 – $700,000 | 3% of the guaranteed portion | 0.25% |
| $700,001 – $5,000,000 | 3.5% up to $1,000,000 guaranteed, plus 3.75% above that | 0.25% |
SBA also charges the lender an annual service fee of 0.55% of the outstanding guaranteed balance, which lenders may not pass on to you. Fee relief applies to qualifying manufacturers, food supply chain businesses, rural businesses and SBA Express loans to veteran-owned businesses — check the current notice before you apply.
What this does not include
- A down payment. Buyers typically put 10–20% of the purchase price in, from savings, a home equity line, or a retirement rollover.
- Lender and third-party costs: appraisal, environmental report, franchise feasibility study, legal and closing fees.
- Seller financing, earn-outs, and the working capital left in the business at closing.
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Estimates only, based on the inputs you enter and the published SBA fee notice. Not a loan offer, credit decision, or financial advice. Lenders set their own rates, terms and requirements — confirm everything with your lender before you rely on these figures.