For SBA lenders
Short answer
The upfront SBA guaranty fee is typically collected by the lender at loan closing and remitted to the SBA. It is calculated as a percentage of the guaranteed portion of the loan, with the percentage varying based on the loan amount and fiscal year.
The SBA charges an upfront guaranty fee, paid by the borrower, to help offset the cost of the program. This fee is due upon loan disbursement and is calculated on the guaranteed portion of the loan, not the full loan amount. The specific fee percentages are published annually by the SBA for each fiscal year and can vary based on the total loan amount.
For a $500,000 loan with an 85% SBA guaranty in FY2026, the guaranteed portion is $425,000. If the fee is 2.5% for this tier, the upfront guaranty fee would be $10,625, which the lender collects at closing and remits to the SBA.
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
7(a) Fees Effective During Fiscal Year 2026
SBA 7(a) Loan Guaranty Fee Calculator
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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