SBA 7(a) Business Acquisition Loan Calculator

Calculate SBA 7(a) loan eligibility and terms for purchasing an existing business. Get instant qualification assessment, monthly payments, and amortization schedules.

Quick Scenarios

Business Details

Step 1 of 3
$

Business's annual earnings (3-year average) - this drives valuation

$

Additional working capital to include in financing

$

Auto-calculated at 3x cash flow, or enter your target price

Loan Structure

Step 2 of 3
%

5% min with seller financing, 10% standard

years

Up to 10 years for acquisitions

$

Reduces SBA loan needed

Rates & Requirements

Step 3 of 3
%

As of January 2025: 7.75%

%

Typically 2.75% - 5%

Typically 1.25+ for approval

Optimize Your Loan

10% ($100,000)
5% (Min with seller) 10% (Standard) 20% (Max)
10 years
5 years 10 years
Impact on Monthly Payment:
- DSCR: -

Tip: 5% down requires 5% seller financing. Most buyers use 10% down for standard SBA 7(a) loans.

Loan Qualification

Real-time SBA 7(a) loan assessment

Maximum Loan Amount
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Monthly Payment
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Interest Rate
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Debt Coverage (DSCR)
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Cash After Debt
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Business Valuation Analysis

Based on your cash flow, analyzing optimal purchase price...
Valuation Range Current: -x earnings
2x
3x
4x
5x+
Conservative Market Rate Aggressive High Risk
Conservative (2x)
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Excellent qualification
Market Rate (3x)
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Good qualification
Aggressive (4x)
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Possible qualification
Max SBA Capacity
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Financing limit
Recommended Purchase Range:
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Optimal for SBA financing

Financial Visualization

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Tools & Reports

Learn About SBA 7(a) Loans

What is DSCR?

Debt Service Coverage Ratio (DSCR) measures a business's ability to pay its debt:

DSCR = Cash Flow ÷ Annual Debt Service

A DSCR of 1.25 means the business generates $1.25 for every $1 of debt payment. Lenders typically require 1.25 or higher.

SBA 7(a) Requirements
Minimum 10% down payment for acquisitions
Business must be for-profit and operate in the US
Personal guarantee from owners with 20%+ ownership
Good credit history (typically 680+ FICO)
Tips for Approval

Pro Tips:

  • • Prepare 3 years of business tax returns
  • • Consider seller financing to reduce loan amount
  • • Higher down payment improves approval chances
  • • Work with an SBA Preferred Lender
  • • Have a clear post-acquisition business plan