{"ok":true,"canonical_url":"https://dealroom.so/glossary/upfront-fee","api_url":"https://dealroom.so/api/public/glossary/upfront-fee","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":"upfront-fee","term":"Upfront Fee","aka":"Lender closing costs","group":"Doing the deal","definition":"These are various charges you pay at the start of the loan, often rolled into your total project costs. They include lender fees, packaging fees, and the SBA's upfront guaranty fee.","what_it_means":"When closing an SBA 7(a) loan, you'll encounter an upfront guaranty fee from the SBA, which can be financed. Lenders also charge their own closing costs and sometimes a packaging fee. Make sure you get a clear breakdown of all these fees in the commitment letter and understand which ones you're paying out-of-pocket versus financing.","url":"https://dealroom.so/glossary/upfront-fee","official_sources":[{"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"},{"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"}],"related":[{"slug":"lender-closing-costs","term":"Lender closing costs","url":"https://dealroom.so/glossary/lender-closing-costs"},{"slug":"packaging-fee","term":"Packaging fee","url":"https://dealroom.so/glossary/packaging-fee"},{"slug":"upfront-guaranty-fee","term":"Upfront Guaranty Fee","url":"https://dealroom.so/glossary/upfront-guaranty-fee"},{"slug":"total-project-costs","term":"Total project costs","url":"https://dealroom.so/glossary/total-project-costs"}],"related_questions":[{"question":"Beyond the upfront guaranty fee, what other ongoing fees or charges are associated with an SBA 7(a) loan?","url":"https://dealroom.so/sba-7a/questions/beyond-the-upfront-guaranty-fee-what-other-ongoing-fees-or-charges-are-associated-with-an-"},{"question":"Are there any annual fees I must pay on an SBA 7(a) loan after the upfront guaranty fee?","url":"https://dealroom.so/sba-7a/questions/are-there-any-annual-fees-i-must-pay-on-an-sba-7-a-loan-after-the-upfront-guaranty-fee"},{"question":"What is the typical range for the SBA 7(a) loan processing fee (upfront guaranty fee) for an acquisition loan?","url":"https://dealroom.so/sba-7a/questions/what-is-the-typical-range-for-the-sba-7-a-loan-processing-fee-upfront-guaranty-fee-for-an-"},{"question":"What is the process for a lender to remit the upfront guaranty fee and annual service fee to the SBA?","url":"https://dealroom.so/for-lenders/questions/what-is-the-process-for-a-lender-to-remit-the-upfront-guaranty-fee-and-annual-service-fee-"},{"question":"Beyond the guaranty fee, are there any other upfront fees charged by the lender that are specific to SBA 7(a) loans?","url":"https://dealroom.so/sba-7a/questions/beyond-the-guaranty-fee-are-there-any-other-upfront-fees-charged-by-the-lender-that-are-sp"},{"question":"What are the current fiscal year 2026 upfront guaranty fee rates for 7(a) loans?","url":"https://dealroom.so/for-lenders/questions/what-are-the-current-fiscal-year-2026-upfront-guaranty-fee-rates-for-7-a-loans"}]},"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 — Upfront Fee","url":"https://dealroom.so/glossary/upfront-fee","source_type":"DealRoom Data"}}