{"ok":true,"canonical_url":"https://dealroom.so/glossary/additional-spread","api_url":"https://dealroom.so/api/public/glossary/additional-spread","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"additional-spread","term":"Additional spread","group":"The loan itself","definition":"This is an extra percentage added to the base interest rate (like WSJ Prime or Term SOFR) that a lender charges on an SBA loan. It directly impacts your monthly debt service, so a higher spread means higher payments.","what_it_means":"The SBA sets maximum interest rates, which are a base rate plus a spread. Lenders may charge different spreads based on loan size, term, and perceived risk. Negotiate the spread with your lender as it affects your total cost of capital and repayment capacity.","url":"https://dealroom.so/glossary/additional-spread","official_sources":[{"slug":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"},{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"spread","term":"Spread","url":"https://dealroom.so/glossary/spread"},{"slug":"variable-rate","term":"Variable rate","url":"https://dealroom.so/glossary/variable-rate"},{"slug":"wsj-prime","term":"WSJ Prime","url":"https://dealroom.so/glossary/wsj-prime"},{"slug":"term-sofr","term":"Term SOFR","url":"https://dealroom.so/glossary/term-sofr"}],"related_questions":[{"question":"What is the difference between the base rate and the spread on an SBA 7(a) loan?","url":"https://dealroom.so/sba-loans/basics/what-is-the-difference-between-the-base-rate-and-the-spread-on-an-sba-7-a-loan"},{"question":"What are the maximum allowable interest rates for variable rate 7(a) loans, including the permissible spread?","url":"https://dealroom.so/for-lenders/questions/what-are-the-maximum-allowable-interest-rates-for-variable-rate-7-a-loans-including-the-pe"},{"question":"What is the maximum interest rate spread a lender can add over the base rate for an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/what-is-the-maximum-interest-rate-spread-a-lender-can-add-over-the-base-rate-for-an-sba-7-"},{"question":"When is personal real estate typically required as additional collateral?","url":"https://dealroom.so/sba-7a/questions/when-is-personal-real-estate-typically-required-as-additional-collateral"},{"question":"What if the lender requests additional appraisals for assets late in the process?","url":"https://dealroom.so/sba-7a/questions/what-if-the-lender-requests-additional-appraisals-for-assets-late-in-the-process"},{"question":"Can my personal residence be required as additional collateral for a larger SBA loan?","url":"https://dealroom.so/sba-7a/questions/can-my-personal-residence-be-required-as-additional-collateral-for-a-larger-sba-loan"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Additional spread","url":"https://dealroom.so/glossary/additional-spread","source_type":"DealRoom Data"}}