Glossary · The loan itself
In short
A fixed spread is the unchanging margin added to a variable base rate to determine your loan's interest rate. While the total rate fluctuates, the spread itself remains constant.
For SBA 7(a) loans with variable rates, your interest rate is usually a base rate (like WSJ Prime or Term SOFR) plus a fixed spread. This means your interest rate changes with the base rate, but the "extra" percentage charged by the bank stays the same for the life of the loan. Negotiate the spread upfront.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
See which SBA lenders would fund your deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to approve a 7(a) like yours and flag what trips up approval.
Free · No documents · Usually same-day