SBA 7(a) Q&A
Short answer
For a $1 million SBA 7(a) loan, you will typically pay an upfront SBA Guaranty Fee, a packaging fee (if applicable), and standard closing costs.
The primary upfront fee for an SBA 7(a) loan is the SBA Guaranty Fee, calculated as a percentage of the guaranteed portion of the loan. For FY 2026, this fee is typically 3.0% for the guaranteed portion between $700,001 and $1,000,000, plus 3.5% for the guaranteed portion over $1,000,000 up to $5,000,000. Lenders may also charge reasonable packaging fees, and standard closing costs (legal, appraisal, environmental, etc.) apply.
For a $1,000,000 SBA 7(a) loan (75% guaranteed), the guaranteed portion is $750,000. The SBA Guaranty Fee would be 3.0% of the guaranteed amount above $700,000, which is $1,500 (3% of $50,000), plus 2.75% of the first $700,000 guaranteed portion, for a total of $19,250 for the first $700,000, so $20,750 total fee for the $750k guaranteed portion. This is typically financed into the loan.
Insider move
Lenders ensure all fees are permissible by SBA rules and transparently disclosed to the borrower. They will calculate the exact SBA Guaranty Fee based on the loan amount and guaranteed percentage, and present all closing costs.
SBA 7(a) Loan Guaranty Fee Calculator
7(a) Fees Effective During Fiscal Year 2026
SOP 50 10 - Lender and Development Company Loan Programs
Last checked 2026-06-14. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-14 · SBA sources checked through 2026-06-14. 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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