For SBA lenders
Short answer
The maximum term for a 7(a) loan used solely for equipment, or for a business acquisition without real estate, is generally 10 years.
SBA loan terms are tied to the useful life of the assets being financed. For equipment and business acquisitions (without real estate), the maximum term is typically 10 years. Loans involving real estate can extend up to 25 years. Working capital loans usually have a maximum term of 10 years.
A borrower seeks a $350,000 7(a) loan to acquire an existing manufacturing business, with the primary assets being machinery and inventory. The lender structures the loan with a 10-year term, aligning with SBA policy for equipment and business acquisitions without real estate.
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
SOP 50 10 - Lender and Development Company Loan Programs
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
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