Glossary · Doing the deal
In short
This is when the interest rate on your SBA loan changes, usually for variable-rate loans. As a buyer, you need to understand how your rate can fluctuate and what triggers these changes.
SBA 7(a) loans can have either a fixed or variable interest rate. If your loan has a variable rate, it will be tied to a base rate like WSJ Prime or Term SOFR plus a spread, and will adjust periodically. Understand the terms of your note, especially when and how your payments can change. Plan for potential rate increases in your cash flow projections.
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.
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