Loan program

SBA 7(a) & 504

Low-down-payment financing for owner-occupied real estate and business acquisitions.

Rate range

5.00% – 10.50%

Max LTV / LTC

up to 90%

Term

10 yr (business) / 25 yr (real estate)

Government-guaranteed loans with 10% down, long terms, and access to fixed-rate 504 pricing.

Best for

Business acquisitions (7(a))
Owner-occupied commercial real estate (504)
Franchise financing
Business + real estate combinations

Eligibility

51%+ owner-occupancy on real estate deals
Reasonable liquidity + net worth
Prior industry experience (for business acquisitions)
Personal guarantee from all 20%+ owners

Documents needed

Personal financial statement
Last 3 years personal + business tax returns
Business financials (P&L, balance sheet)
Purchase agreement (business or real estate)
Business plan (acquisitions and startups)

Pros

10% down
25-yr amort on RE
Fixed rate on 504 SBA piece
Working capital available under 7(a)

Considerations

60–120 day close
Personal guarantee required
Extensive documentation
Franchise/business acquisitions have industry-specific underwriting

SBA is the lowest-down-payment path to owning your own business or the building your business occupies. In exchange for the guarantee, you'll accept longer timelines and more paperwork than conventional commercial.

7(a) is general-purpose (business acquisitions, working capital, RE, refinance). 504 is real estate + heavy equipment with a fixed-rate SBA piece.

Common questions

Can I use SBA to buy a pure investment property?

No. SBA requires 51%+ owner-occupancy or an operating business.

How much liquidity do I need?

Generally 10% of the project cost in liquid post-close, plus 3–6 months of operating expenses.

What credit score is needed?

SBSS score ≥ 155 is a typical minimum; 680+ FICO on the sponsor is common.

Ranges shown are educational. Actual pricing and terms depend on your credit, the property, and current market conditions. Nothing on this page is an offer of credit.