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What does an SBA loan on this business actually cost?

A purchase price and a down payment are enough to see the monthly payment. Everything else has a working default you can change. No account needed.

Prime 6.75% · as of 1 Aug 2026 · Federal Reserve H.15, August 2026 · set by Revanu

01 — The deal
Purchase price$840,000
Down payment10% · $84,000
SBA 7(a) acquisitions generally need at least 10% equity.
02 — Rate and term
Interest rate9.75%
Prime 6.75% + 3.00% (SBA 7(a) maximum spread, Over $350K) · Federal Reserve H.15, August 2026
Term
The standard acquisition term
03 — Options
Finance the guarantee feeRolled into the loan
Financing the fee lowers the cash you need on the day and raises the monthly payment.
Working capital addedNone
Monthly payment
$10,146

$775,845 financed over 10 years at 9.75%. Across the full term you repay $1,217,489, of which $441,644 is interest — 57% of what you borrowed.

Cash needed at close
$84K
Down payment only — the fee is financed
Total interest
$442K
57% of the amount financed
Total cost of the loan
$1.22M
Principal and interest across 120 payments
Debt service per year
$122K
What the business has to cover
How we got here
Every line comes from the controls on the left.
Purchase price
$840,000
Down payment, 10%
− $84,000
SBA guarantee fee
FY2026 schedule: 3.5% of the guaranteed 75% (loans over $700,000). SBA Information Notice 5000-872051, 28 Aug 2025.
+ $19,845
Amount financed
$775,845
9.75% over 10 years
Prime 6.75% + 3.00% (SBA 7(a) maximum spread, Over $350K) · Federal Reserve H.15, August 2026
120 payments
Monthly payment
$10,146
Can the business carry it?

At 1.25× coverage — a widely used lender convention, not a Revanu figure — this loan needs $152,186 of annual cash flow. That is the question that decides whether a deal happens.

Test it against real cash flow

Rate shown is the SBA 7(a) maximum for a loan over $350k, from Federal Reserve H.15, August 2026. Fixed-rate caps follow a different schedule and are not modeled here. The guarantee fee follows the FY2026 schedule (SBA Information Notice 5000-872051, 28 Aug 2025); the manufacturing and short-term exceptions are not modeled. Benchmarks, not offers, appraisals, or advice. Every result here shows the arithmetic that produced it so you can argue with it. Rates and fees vary by lender and by borrower.