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SBA Guaranty Fee Calculator — Calculate SBA Loan Guarantee Fee [2026]

Calculate SBA loan guaranty fee based on loan amount, guaranteed portion, and loan term. Estimate upfront and annual service fees for 7(a) loans.

Max SBA 7(a): $5,000,000

SBA guarantees up to 85% for smaller loans

Real estate: up to 25 yrs; equipment: up to 10 yrs

Fee Tier Applied: Loans $150,001–$700,000 (term > 12 mo): 3.0% of guaranteed portion

SBA Guaranty Fee Breakdown

Total Loan Amount$500,000.00
SBA Guaranteed Portion (75%)$375,000.00
Upfront Guaranty Fee (one-time, at closing)+$11,250.00
Annual Service Fee (0.55% × 10 yrs)+$20,625.00
Total SBA Fees Over Loan Term$31,875.00
Upfront Fee
$11,250.00
due at closing
Annual Service Fee
$2,062.50
per year (0.55%)
Total Service Fees
$20,625.00
over 10 years
All SBA Fees
$31,875.00
6.38% of loan

SBA 7(a) Fee Structure Reference

Loan AmountTermUpfront Guaranty Fee
≤ $150,000Any2.0% of guaranteed portion
Any amount≤ 12 months0.25% of guaranteed portion
$150,001 – $700,000> 12 months3.0% of guaranteed portion
$700,001 – $5,000,000> 12 months3.5% + 0.25% on guaranteed > $1M
Annual Service Fee (all loans)0.55% of guaranteed balance/year
Fee rates are based on current SBA 7(a) program guidelines. The SBA may adjust fees periodically and may offer fee waivers during certain programs. Annual service fees are estimates based on the original guaranteed balance — actual fees decrease as the principal is repaid. Consult an SBA-approved lender for exact figures.

What is SBA Guaranty Fee Calculator?

The SBA Guaranty Fee Calculator helps small business owners estimate the fees associated with an SBA 7(a) loan guarantee. The SBA charges lenders a guaranty fee for backing the loan, and lenders typically pass this cost to borrowers. Understanding these fees helps you compare the true cost of SBA financing versus conventional small business loans.

How to Use SBA Guaranty Fee Calculator

Enter your SBA 7(a) loan amount and select the SBA guaranteed percentage (75% for loans over $150,000 or 85% for loans $150,000 and under). Enter the loan term in years. The calculator applies the official SBA fee tiers to show the upfront guaranty fee, annual service fee, and total estimated fees over the loan term.

How SBA Guaranty Fee Calculator Works

The SBA charges a guaranty fee based on the guaranteed portion of the loan (not the full loan amount). For loans up to $150,000 the upfront fee is 2% of the guaranteed portion. Loans from $150,001 to $700,000 with terms over 12 months are charged 3%. Loans from $700,001 to $5 million are charged 3.5%, plus an additional 0.25% on any guaranteed amount over $1 million. The annual service fee is 0.55% of the outstanding guaranteed balance each year.

Common Use Cases

  • Estimating total SBA 7(a) loan costs before applying for small business financing
  • Comparing SBA loan total cost versus conventional business loans
  • Planning working capital needs including upfront SBA guaranty fees at closing
  • Understanding ongoing annual service fees built into your SBA loan payments
  • Evaluating whether the SBA guarantee program benefits outweigh the additional fee cost

Frequently Asked Questions

What is the SBA guaranty fee?

The SBA guaranty fee is a one-time upfront fee the SBA charges lenders for guaranteeing a portion of an SBA 7(a) loan. The lender typically passes this cost to the borrower. It is separate from the interest rate and other lender fees.

Who pays the SBA guaranty fee?

The SBA charges the guaranty fee to the lender, but lenders are permitted to pass the cost on to the borrower. In practice, borrowers almost always pay the guaranty fee, either upfront at closing or financed into the loan amount.

What is the annual service fee on an SBA loan?

SBA lenders pay an ongoing annual service fee of 0.55% of the outstanding guaranteed balance to the SBA. This is typically built into your interest rate or collected separately, increasing the effective cost of the loan each year.

Are SBA guaranty fees tax deductible?

SBA guaranty fees are generally treated as a loan origination cost and may be deductible as a business expense or amortized over the life of the loan. Consult a tax professional for guidance specific to your business situation.

Can SBA guaranty fees be waived?

The SBA occasionally waives or reduces guaranty fees as part of economic stimulus programs, particularly for small loans under $150,000 or loans to veterans. Check with an SBA-approved lender or the SBA website for current fee waiver programs.

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