Key Points:

SBA Loan Fees Returning: Starting March 27, 2025, SBA 7(a) loan guaranty fees are back after 13 years.
New Fee Structure: Loans up to $150K face a 2% fee, while larger loans have tiered increases up to 3.75%.
Plan Ahead with FastWay SBA: We help businesses navigate these changes and secure the best funding options.

ATTENTION SMALL BUSINESS OWNERS: SBA Loan Fees Returning After 13 Years , What does this mean for your Business?

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The Small Business Administration (SBA) has announced changes to its loan guaranty fees, effective March 27, 2025. These updates will impact all 7(a) loans that have not yet been issued a loan number, with the revised fees remaining in place through September 30, 2025. This shift is a significant change from previous policies, which had waived guaranty fees for loans up to $1 million.

What Are the New SBA Guaranty Fees?

For standard 7(a) loans with terms over 12 months, the new fees are as follows:

Up to $150,000: 2% of the guaranteed portion
$150,001 to $700,000: 3% of the guaranteed portion
$700,001 to $5 million: 3.5% on the guaranteed portion up to $1 million, plus 3.75% on any guaranteed portion above $1 million

Loan Fee Calculations

Loan Fee Calculation Examples

Example 1

Loan Amount: $150,000

Maturity: 10 years

Guaranteed Portion (85%): $127,500

Upfront Fee: 2% = $2,550

Annual Service Fee: 0.55% of outstanding balance

Example 2

Loan Amount: $600,000

Maturity: 15 years

Guaranteed Portion (75%): $450,000

Upfront Fee: 3% = $13,500

Annual Service Fee: 0.55% of guaranteed balance

Example 3

Combined Loan Amount: $1,700,000

Loans Within: 90 days

Guaranteed Portion (75%): $1,275,000

Upfront Fee: 3.5% = $44,625

Annual Service Fee: 0.55% of outstanding guaranteed balance

Note: Fees and percentages are subject to change. Consult with one of our SBA Advisors.

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How This Affects Small Business Borrowers

For small businesses seeking SBA financing, these adjustments mean slightly higher costs when securing funding. However, SBA loans remain one of the most affordable and accessible options for business owners looking for working capital, equipment purchases, or business expansion.

If you’re considering an SBA loan, now is the time to plan ahead. Understanding these fee changes will help you make informed decisions about your financing options.

The return of SBA loan fees signals a shift in how the program is managed, but it doesn’t change the fact that SBA loans remain a vital resource for small businesses. At FastWay SBA, we’re here to help you navigate these updates and ensure you secure the best financing for your business.

Book a Call with an SBA Specialist

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