Tool · Diligence & Financing
SBA 7(a) Loan Calculator
For business-acquisition borrowers. Enter your loan amount, rate, and term — see monthly payment, total interest over the life of the loan, and a year-by-year breakdown of principal versus interest.
Monthly payment
$0
Total interest paid
$0
Total of payments
$0
Year-by-year breakdown
Principal (filled amber) vs interest (light amber) per year. The first years are interest-heavy; the back half is principal-heavy.
Show full amortization schedule
| Year | Principal paid | Interest paid | Balance |
|---|
How this calculator works
We use the standard fully-amortizing loan formula: each monthly payment is
P × (r(1+r)n) / ((1+r)n − 1), where P is the loan principal,
r is the monthly interest rate (annual / 12), and n is the number of months in the term.
The amortization breakdown applies that monthly payment month-by-month, splitting each payment into interest (computed on the remaining balance) and principal (the rest), and reducing the balance accordingly. We aggregate by year for the chart and table.
What this tool does not do (yet)
- Doesn't include the SBA guaranty fee (typically 0–3.75% of guaranteed portion, paid at closing). Add it as a closing cost.
- Doesn't model variable rate adjustments. Most SBA 7(a) loans float on Prime; if rates move, monthly payments update at the lender's reset cadence.
- Doesn't model balloon structures or seller financing layers. Those are coming in the owner-financing modeler.
- Doesn't compute Debt Service Coverage Ratio (DSCR). DSCR requires your projected post-close EBITDA — that's a separate worksheet.
Source notes
SBA 7(a) terms and structure are governed by the SBA Standard Operating Procedures (SOP 50 10). Always verify current eligibility, rate caps, and structural requirements with your lender — rules change.