Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our opinions or reviews. Learn
how we make money.
Best SBA lenders
Our top picks for government-backed loans from banks, connection services and online lenders.
Finding the right Small Business Administration (SBA) lender can set your business up for success. Some can even save you time by helping with the notoriously complicated SBA loan application.
When compiling our list of the best SBA loan providers, we first confirmed each lender’s legitimacy, business practices and website security. We then analyzed each lender based on the variety of SBA loans offered, range of loan amounts, rates and terms, and how easy it is to apply. We also considered factors such as how much these lenders typically fund in SBA loans and if they specialize in SBA financing.
Customer reviews on sites like Trustpilot and the Better Business Bureau (BBB) factored into our decision as well.
We changed our categories to better reflect each lenders’ strengths. We also added more details about each lender so you can make a more informed decision on the best financing decision for your business. And while our list largely stayed the same, we chose to remove a few lenders that no longer meet our criteria so we can truly reflect the best options for an SBA loan.
SmartBiz is one of the top SBA connection services and works with a wide range of lenders that offer 7(a) loans. You can prequalify in a few minutes and get your funds in as little as a week after finishing the application — though it can take longer for larger amounts. It charges a referral and packaging fee in exchange for finding your business a lender and doing some of the more time-consuming paperwork for you. While it might cost more, it takes less time.
Main Street specializes in helping small businesses that struggled to qualify for an SBA loan in the past or didn’t think it was even an option. It works with you on improving your business’s finances and your own personal credit score to increase your chances of approval. This means it could take up to a year to get your SBA loan, though Main Street allows you to combine it with its bridge loans to keep your business afloat in the meantime.
Lendio is an online connection service that partners with lenders that offer a slew of SBA financing options, including loans through the 7(a), 504 and Express programs. And while there is technically no cost to use Lendio to compare your business loan options, you may pay an origination fee to Lendio once your loan has been funded.
As a business loan connection and consulting service, Seek Business Capital specializes in connecting startups to funding — including SBA loans. It’s not for businesses that haven’t opened their doors yet, though. You’ll need to be up and running for at least six months to qualify. And it's one of the slowest lenders on this list — it can take up to six months to get your funds.
Newtek is the only online lender that ranks in the top 10 list of the SBA’s most active 7(a) lenders. It offers financing up to $10 million with terms as long as 25 years. Instead of having business owners apply for an SBA loan specifically, it has you prequalify for a term loan, line of credit or commercial real estate loan. You then discuss your options with a loan specialist to decide if an SBA loan or other type of financing is the best fit. It’s not a good choice for startups, though: Your business must be around for at least two years to qualify.
National Business Capital has a unique approach to SBA funding that cuts the turnaround from six months to as few as 45 days. And while you’re waiting for your government-backed loan to come in, it works with over 75 lenders to help you find bridge financing in the meantime. But you’ll need to have a credit score of at least 685 to qualify. And it’s not open to fledgling companies just getting off the ground.
You can borrow up to $12.5 million through the SBA 504 program — making Chase a great choice if you plan on expanding your physical locations. It also allows you to finance up to 90% of the cost of your project with extended loan terms.
You may not have heard of Celtic Bank, but this Utah-based provider consistently earns a top spot on the SBA’s list of most active 7(a) lenders. It offers up to $10 million for loans issued under the 504 program, and its 7(a) loans go up to $5 million. But if you want to visit a branch, you’re out of luck if you don’t live in Salt Lake City.
Pros
Large loan amounts available
Relatively quick turnaround
SBA Preferred Lender
Cons
Only one branch in Utah
Not open to gas stations, convenience stores and hospitality businesses
Min. Loan Amount
$350,001
APR
Varies
Interest Rate Type
Fixed
Min. Credit Score
N/A
Summary of best SBA lenders
Lender
Best for
What sets it apart
SmartBiz
A simplified application
A connection service that’s entirely SBA preferred lenders and offers loan packaging.
Main Street Finance Group
Businesses that have struggled to qualify
It works with borrowers to improve finances and credit to increase chances of approval.
Lendio
Comparing multiple SBA lenders
It has a network of over 75 providers that makes it easy to compare offers from multiple SBA lenders.
Seek Business Capital
Startups and young businesses
A network that specializes in helping startups find financing, with consulting services.
Newtek
Online SBA loans
It’s the only online lender to make the SBA’s top 10 list of active 7(a) lenders
National Business Capital
A quick turnaround
It funds SBA loans in as little as 45 days — and offers bridge loans to tide you over.
Chase
Buying commercial real estate
Financing for up to 90% of the cost of your project with some of the highest 504 loan out there.
Celtic Bank
Funding large projects
It’s consistently one of the most active SBA 7(a) lenders in the country with an average 7(a) loan size close to $1 million.
How to find the best SBA lender for your business
Ready to begin your search for an SBA lender? Here are some pointers to find the right one for your business.
Make sure your business qualifies. Qualifying for an SBA loan might not be as easy as you think. Make sure your business is eligible for an SBA loan in the first place before you start comparing lenders.
Research the different types of SBA programs. The 7(a) program is the most popular, but that also means more competition. You might want to look into the 504 or Microloan programs if 7(a) isn’t an exact fit for your small business.
Nail down your priorities. Decide what matters to your business most and let that guide you when comparing lenders. Do you have time to apply on your own, or do you want to pay a lender to package the application? How long can your business afford to wait?
Don’t limit yourself to banks. Going directly to a bank might be a popular choice, but banks aren’t the only SBA lenders out there. An online lender might be a better fit for smaller businesses, as can using a service like SmartBiz.
How much do SBA loans cost?
SBA loans are known for being inexpensive. That’s because the SBA sets limits to how much lenders can charge in interest and fees. Within those limits, lenders have some flexibility. They can decide whether to offer your business fixed or variable rates and the exact rate you qualify for.
Want even more options? Comb through the SBA’s list of the 100 most active 7(a) lenders as of September 30, 2019. Lenders are organized by how much they funded in 7(a) loans, not how many businesses were approved.
Live Oak Banking Company
Newtek Small Business Finance, Inc.
Wells Fargo Bank, National Association
Byline Bank
The Huntington National Bank
Celtic Bank Corporation
JPMorgan Chase Bank, National Association
U.S. Bank, National Association
KeyBank National Association
Readycap Lending, LLC
First Home Bank
Truist Bank
Bank of Hope
Seacoast Commerce Bank
Stearns Bank National Association
Citizens Bank
TD Bank, National Association
Bank of the West
Manufacturers and Traders Trust Company
Bank of America, National Association
Berkshire Bank
MUFG Union Bank, National Association
Umpqua Bank
United Community Bank
PromiseOne Bank
Pacific City Bank
United Midwest Savings Bank, National Association
Pinnacle Bank
CenterState Bank, National Association
Pacific Western Bank
First Bank
Hanmi Bank
First IC Bank
Cadence Bank, National Association
Five Star Bank
BBVA USA
Commonwealth Business Bank
Bank of George
Citizens Bank, National Association
Zions Bank, A Division of
Open Bank
Midwest Regional Bank
VelocitySBA, LLC
IncredibleBank
Harvest Small Business Finance, LLC
Metro City Bank
First Savings Bank
Hana Small Business Lending, Inc.
Comerica Bank
Foundhead SBF LLC
NewBank
Regions Bank
First Financial Bank
Independent Bank
Cathay Bank
US Metro Bank
First Horizon Bank
First National Bank of Pennsylvania
Capital One, National Association
The MINT National Bank
Shinhan Bank America
Atlantic Capital Bank, National Association
Wallis Bank
West Town Bank & Trust
Customers Bank
TCF National Bank
First-Citizens Bank & Trust Company
Peoples Bank
HomeTrust Bank
Frost Bank
Seacoast National Bank
PNC Bank, National Association
Mountain Pacific Bank
United Business Bank
Stone Bank
BankUnited, National Association
Embassy National Bank
East West Bank
Fifth Third Bank
Ameris Bank
Northwest Bank
Fulton Bank, National Association
Peapack-Gladstone Bank
America First FCU
First Chatham Bank
Poppy Bank
First General Bank
Patriot Bank, National Association
Synovus Bank
Royal Business Bank
Republic First Bank
Sunflower Bank, National Association
Quantum National Bank
UniBank
First Commonwealth Bank
21st Century Bank
Centerstone SBA Lending, Inc.
Falcon National Bank
First Western SBC, Inc.
FinWise Bank
Alternatives to an SBA loan
SBA loans are notoriously difficult to qualify for and may take months to fund. If your business doesn’t qualify — or if you simply need fast access to funds — consider these alternatives:
Business term loans. Most SBA loans are term loans — but backed by the federal government. If your business doesn’t meet the rigid requirements set by the SBA, it may still qualify for a term loan offered by a bank, credit union or online lender.
Business lines of credit. If your business needs consistent access to funds, consider a line of credit. These have lower rates than business credit cards, and many can be secured with your business’s assets, making it easier to qualify for than an SBA loan.
Business credit cards. Business credit cards are also helpful for businesses that need frequent, quick access to funds. But while they give you access to rewards, they carry higher APRs than business term loans and lines of credit.
There’s no one best SBA lender for all small businesses. Banks could be a better choice for established businesses looking for a large amount of funds. But online lenders and connection services tend to be quicker and have more forgiving eligibility requirements. There’s also a chance that an SBA loan isn’t right for your small business at all.
These lenders are separate from the SBA loan program and offer private loans for businesses. For quick results tailored to your business, you may want to consider one of these lenders to bridge gaps in funding.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
Anna Serio is a trusted loans expert who's published more than 950 articles on Finder to help Americans strengthen their financial literacy. A former editor of a newspaper in Beirut, Anna writes about personal, student, business and car loans. Today, digital publications like Business Insider, CNBC and the Simple Dollar feature her professional commentary, and she earned an Expert Contributor in Finance badge from review site Best Company in 2020.
How likely would you be to recommend finder to a friend or colleague?
0
1
2
3
4
5
6
7
8
9
10
Very UnlikelyExtremely Likely
Required
Thank you for your feedback.
Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.
Advertiser Disclosure
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.
