A Small Business Administration (SBA) Express Loan provides small businesses with long-term working capital financing up to $350,000. These loans feature interest rates of 4.5–6.5 percent above the prime rate and typically have a 10-year repayment period. SBA Express loans carry fewer documentation requirements than standard 7(a) loans, but still take 30 to 90 days to fund.
Similar to Express loans, SmartBiz provides fast, standard SBA 7(a) funding up to $350,000. It can work with businesses that have been operating for 2 or more years and have a credit score above 680. The entire application can be completed online in just a few minutes, and it can have you funded in 30 days or less.
Types of SBA Express Loans
There are two types of SBA Express loans: one for businesses that export goods and another for all other business. Lenders can approve a loan or line of credit up to $350,000 with an SBA Express loan. The SBA Export Express loan program can help businesses that export goods get up to $500,000. The SBA review process is expedited, but funding can still take up to 90 days.
The two types of SBA Express loans are:
1. SBA Express Loans
The SBA Express loan features an accelerated turnaround time for SBA review but a smaller maximum loan amount than a standard 7(a) loan. The SBA will respond to your application within 36 hours, but the maximum you can borrow is $350,000. This financing program is flexible and can be used for working capital term loans, a line of credit, or commercial real estate term loans.
Who an SBA Express Loan Is Right For
An SBA Express loan can be a good option for businesses needing long-term working capital loans under $350,000. With an SBA Express loan, your lender has the flexibility of choosing most of the qualification criteria and paperwork used to determine if you qualify. As such, the application is simplified over a standard SBA 7(a) loan, resulting in a potentially quicker turnaround time.
SBA Express Loan Amount
Up to $350,000
SBA Express Loan Terms
The SBA Express loan terms on the amount of time you get to repay are based on loan type — line of credit vs. term loan — and collateral type. SBA express loan terms are designed to match the expected life of the collateral. This means you’ll get longer to repay a loan secured by real estate, such as for 25 years, than you will a loan secured by equipment like for 5 or 10 years.
The maximum SBA Express loan terms are:
- Lines of credit: Up to 10 years; advances are allowed for up to 5 years, and then the line of credit is termed out over another 5 years
- Inventory or working capital term loans: Up to 10 years
- Equipment, fixtures or furniture term loans: Greater of 10 years or the useful life of the collateral, not to exceed 25 years
- Leasehold improvement term loans: Up to 10 years
- Real estate term loans: Up to 25 years
SBA Approval Time to Lender
When a lender submits a loan application to the SBA for approval, it’ll typically respond within 36 hours.
Actual SBA Loan Funding Time
30 to 90 days
SBA Express Loan Interest Rates
Lenders and borrowers negotiate the interest rates for SBA Express loans. Rates can be fixed or variable and are tied to base rates, which include the prime rate, London Interbank Offered Rate (LIBOR) or an optional price/earnings to growth (PEG) rate. These rates can go up or down based on market conditions. Currently, they remain at decade-low levels. During the last 10 years, the prime rate has been as high as 8.25 percent.
The base rates as of November 1, 2018, are:
- Prime rate: 5.25%
- LIBOR (one month) + 3.0%: 5.30% (source: Bankrate)
- SBA PEG rate: 2.88% (source: National Association of Government Guaranteed Lenders – NAGGL)
The maximum interest rates for SBA Express loans as of November 1, 2018, are:
- Loans up to $50,000: Prime + 6.5% = 11.75%
- Loans +$50,000: Prime + 4.5% = 9.75%
For variable rate SBA Express loans, your lender can choose any base rate to calculate your interest rate, so long as it’s similar to the rates your lender charges for other non-SBA guaranteed loans of a similar size. However, the maximum interest rate you’re charged by your lender still cannot exceed prime plus 4.5 percent to 6.5 percent.
Collateral Required for an SBA Express Loan
Collateral might be required by your lender. Lenders are not required to take collateral for loans up to $25,000, but they may use their existing collateral policy for loans of $25,000 to $350,000.
If you’re looking for up to $350,000 in SBA funding, we recommend applying with SmartBiz. If you’ve been in business for 2 or more years, have a credit score above 680 and are profitable, you may qualify. Get prequalified in less than 5 minutes and funded within 30 days.
2. SBA Export Express Loans
The SBA Export Express loan program provides SBA-backed financing up to $500,000 for businesses to being or expand their export business. Lenders use their own credit decision process and loan documentation, and the SBA provides an expedited eligibility review within 24 hours. The funds must be used to enhance the business’s ability to export goods and services.
Who SBA Export Express Loans Are Right For
If your business is involved in exports and you need up to $500,000, the Export Express program is a good option. Your lender has the flexibility of choosing most of the qualification criteria and paperwork used to determine if you qualify. As such, the application is simplified over a standard SBA 7(a) loan, resulting in a potentially quicker turnaround time.
SBA Export Express Loan Amount
Up to $500,000
SBA Export Express Loan Terms
The amount of time you’ll get to repay an SBA Export Express loan is based on the type of loan — line of credit vs. term loan — and the type of collateral. The loan term is designed to match how long the collateral is expected to last. This means you’ll get longer to repay a loan secured by real estate like 25 years than you will a loan secured by equipment like 5 or 10 years.
The maximum loan terms you can expect for an SBA Export Express loan are:
- Lines of credit: Up to 7 years
- Inventory or working capital term loans: Up to 10 years
- Equipment, fixtures or furniture term loans: Greater of 10 years or the useful life of the asset, not to exceed 25 years
- Leasehold improvement term loans: Up to 10 years
- Real estate term loans: Up to 25 years
SBA Approval Time to Lender
When a lender submits a loan application to the SBA for approval, they’ll typically respond within 24 hours.
Actual Funding Time
30 to 90 days
SBA Export Express Loan Interest Rates
Lenders and borrowers negotiate the interest rates for SBA Export Express loans. Rates can be fixed or variable and are tied to base rates, which include the prime rate, LIBOR or an optional PEG rate. These rates can go up or down based on market conditions. Currently, they remain at decade-low levels. During the last 10 years, the prime rate has been as high as 8.25 percent.
The base rates as of November 1, 2018, are:
- Prime rate: 5.25%
- LIBOR (one month) + 3.0%: 5.30% (source: Bankrate)
- SBA PEG rate: 2.88% (source: NAGGL)
The maximum interest rates for SBA Export Express loans as of November 1, 2018, are:
- Loans up to $50,000: Prime + 6.5% = 11.75%
- Loans +$50,000: Prime + 4.5% = 9.75%
For variable rate SBA Export Express loans, your lender can choose any base rate to calculate your interest rate, so long as it’s similar to the rates your lender charges for other non-SBA guaranteed loans of a similar size. However, the maximum interest rate you’re charged by your lender still cannot exceed Prime plus 4.5 percent to 6.5 percent.
Collateral Required for SBA Export Express Loans
Collateral is based on the policies and procedures established by the lender for its non-SBA-guaranteed loans.
SBA Express Loan Minimum Qualification Requirements
The SBA loan requirements for an SBA Express loan are similar to the requirements of the SBA 7(a) loan program. In the end, your lender will determine what you must satisfy to get approved. While your lender has the flexibility of choosing the factors it uses to determine if your business is creditworthy, the SBA will certainly consider your credit score and ability to repay.
In general, to qualify for an SBA Express loan, you’ll need to meet these minimum qualifications:
- Credit score: Credit score above 680 (check your credit score for free)
- Repayment ability: Debt service coverage ratio (DSCR) of 1.1 or higher
- Revenue trends & profitability: Positive revenue trends and your business must be profitable
- Collateral: Generally not required for loans up to $25,000; personal or business collateral sufficient to cover 100% of the loan amount may be required by your lender for larger loans
Where to Get an SBA Express Loan
SBA Express loans can be found at traditional banks as well as other types of lenders. Due to the large number of potential lenders out there, it can be difficult to know which one to choose. If you’re not sure where to start, you can read our article on the best 100 SBA lenders. Many of these lenders offer a full suite of SBA loan products, including SBA Express loans.
For those small businesses looking to borrow up to $350,000 quickly, we recommend working with SmartBiz on a traditional SBA 7(a) loan. SmartBiz’s online application process can prequalify you online in just a few minutes, and you can be funded in as quick as 30 days. This is faster than many SBA lenders that offer financing through the SBA Express loan program.
Differences Between SBA Express Loans and SBA 7(a) Loans
While there are many different types of SBA loans, most people first think of SBA 7(a) loans because it’s the most commonly used SBA loan program. SBA Express loans are built on the same program framework as the 7(a) program but they’re made for lower funding amounts up to $350,000. Plus, your lender has the flexibility of choosing most of the paperwork and qualifications.
The major differences between SBA Express Loans and SBA 7(a) loans are:
SBA Express Loans vs. SBA 7(a) Loans
| Maximum Loan Amount | ||
| Maximum Interest Rates | ||
| Lender’s SBA Guarantee | ||
| SBA Review Time | Not required prior to closing for PLP lenders | |
| Funding Time | Less than 30 days with SmartBiz | |
| Lenders |
The four differences between an SBA Express Loan and traditional SBA 7(a) loan includes:
- Lower maximum loan amounts: An SBA 7(a) loan has a maximum loan size of $5 million and an SBA Express loan only goes up to $350,000
- Higher maximum interest rates: The maximum interest rate for SBA loans is Prime + 2.75 percent, but an SBA Express loan has a maximum interest rate of Prime + 4.5 to 6.5 percent
- Lower SBA guarantees for the lender: The SBA guarantees 75 to 85 percent on SBA 7(a) loans but only 50 percent of SBA Express loans; the difference likely won’t matter to most lenders because of the low loan amounts associated with the SBA Express program
- Quicker funding speed: SBA Express loans can have quicker funding times than standard SBA 7(a) loans in certain situations; this is because the SBA gives more independence to the lender when it comes to the loan approval process; essentially, the SBA is agreeing to trust the lender’s underwriting and just do a high-level review
The main reason borrowers choose an SBA Express loan over an SBA 7(a) loan despite the higher interest rates is that lenders promise quicker funding times. Most business owners are willing to pay a premium for speed, especially when they need cash to grow their business.
4 Things That Affect SBA Express Loan Funding Time
Slow SBA funding times have been a common complaint since the loan guarantee program began. A name like “SBA Express Loan” implies that it would be a way to get quicker funding, but that can be misleading. Because the SBA loan still must go through your lender’s underwriting and approval process, even an SBA Express loan can be slower than you think.
The time it takes to get SBA funding is primarily dependent on four factors:
1. Lender Efficiency During Underwriting
The biggest factor that typically affects the funding speed for an SBA Express Loan is lender efficiency. The lender, not the SBA, controls the vast majority of the application and underwriting processes and ultimately decides when to move forward with a loan approval. This means many of the issues around funding time on SBA loans are the result of inefficient lending partners.
Some of the primary reasons for SBA lender inefficiency include:
- Antiquated SBA application process: Many lenders have antiquated, inefficient SBA application processes; typically, they require you to go into an office, talk with a number of bank employees and hope that you finally get passed to a loan officer that’s familiar with SBA loans; you’ll probably have to do all this during traditional “banking hours”
- You have to give them physical paper: After the application has been prequalified, they might require you to physically bring a huge amount of information into them for review.; plus, it will only be reviewed things once everything has been received
- Approval from both the lender & SBA is needed: Only after the lender has approved your loan internally will they seek SBA approval; Express loans get approval within 36 hours or within 24 hours for Export Express loans; the antiquated application process at traditional lenders is what slows down SBA funding times the most, not the SBA
That’s why a partner like SmartBiz can be so important to get funded quickly. Its 5-minute online prequalification lets you know whether you’re a good fit. As an experienced SBA lender, they’ll only request the documents they need to complete your underwriting, which means no chasing down unnecessary documents before your application really gets reviewed.
2. Borrower Preparedness
Many borrowers slow down their own loan process because they’re not ready for each step of the way. While there is a lot a lender can do to speed up the SBA funding process, they have limits if a borrower isn’t on top of things. Even the most efficient SBA lenders can only work as fast as allowed by their borrowers.
Understanding what documentation will be requested by your SBA lender and preparing it ahead of time will not only increase the speed of funding but can also increase your approval chances. To make the application process easier, we’ve developed a free SBA loan documentation checklist for you to use.
Here is a list of documentation you may need during the SBA Express loan process:
- SBA loan application
- Plans for loan proceeds
- Personal financial statement
- Statement of personal history
- Profit and loss statement
- Financial projections
- List of ownership and affiliations
- All business licenses or certificates
- Loan application history
- Last three years of signed personal and business tax returns
- Personal resumes (owners with 20%+ stake in the company)
- History and overview of the business
- All business leases
You can plan on filling out specific SBA forms in addition to all the above documentation. We have put together guides on each form to help make your application process easier. The key to filling out these forms efficiently is reviewing what’s required before you start and having all the information you need at hand. This will make the process of completing them much quicker.
The SBA forms you’ll most likely need to fill out are:
- SBA Form 1919: This form is where all basic borrower information is provided
- SBA Form 912: A statement of personal history used to assess your character
- SBA Form 413: Used to evaluate the financial ability of you, your spouse and other owners of the business
- SBA Form 159: This is a disclosure statement used if you hired someone to help you fill out your SBA loan application
In addition, if you plan on using the SBA funds to purchase an existing business then you need to provide the following documents for the business you want to acquire:
- Current balance sheet
- Current profit and loss statement
- The last 2 years of the business’s income tax returns
- A bill of sale or the proposed terms of sale
- List of the total asking price that includes a schedule of inventory, machinery, furniture, fixtures and other equipment.
Additional documentation may be required when buying or renovating commercial real estate.
If the application process seems complicated, you’re not alone. You can follow our step-by-step guide on how to apply for an SBA loan to navigate your way through the process.
3. The SBA Doesn’t Make the Final Lending Decision
In most cases, the SBA doesn’t actually lend money to small businesses. Instead, they make it less risky for lenders to make small business loans by guaranteeing a certain percentage of a loan as long as those loans conform to strict SBA standards. So, the SBA approval is the SBA’s promise to the lender that they will guarantee the loan if you default.
The SBA’s loan guarantee programs are meant to encourage banks and other lenders to make more loans on a consistent basis. The percentage of the loan that the SBA will guarantee ranges from 50 percent to 90 percent, depending on the program and the size of the loan. Loans made under the SBA 7(a) program get a guarantee of 75 percent to 85 percent while loans made under the SBA Express program only receive a 50 percent guarantee.
The downside to this is that the SBA can’t speed up your loan process because that burden falls to your lender. The SBA promises a quick turnaround time for the SBA Express loan. However, the SBA Express program typically doesn’t speed up your total loan time because your lender can still take up to 90 days or more to fund.
4. Lender Willingness to Originate Specific Loans
Inefficiency isn’t the only thing that can slow down the lending process with SBA Express loans. Sometimes, a lender just doesn’t have the appetite to make your specific loan, and they aren’t likely to tell you that when you apply.
If you submit an application, your lender will typically go through the motions because they have to, even though they know they’re unlikely to approve your loan. This can be a huge waste of time and energy for a small business owner who needs to get funded quickly.
There can be a few reasons for this, including:
Too Much Exposure to Similar Loans
This is where the lender already has many outstanding loans like yours, and they don’t want to accept additional ones. This happens when management decides they need to get a better mix of loans to reduce their exposure to any one industry, any one type of borrower, any one size of loan and so on.
Bad Experience with Similar Loans
Perhaps the lender has made a number of loans like yours in the past and has had a higher than normal rate of default. The lender will likely avoid similar loans altogether or significantly increase the requirements and qualifications needed for you to get approved.
Inexperience with Your Type of Loan or Business
Maybe the lender isn’t very familiar with your business model or isn’t familiar with what will go into underwriting your loan. Rather than risk putting in time on a loan that might not get approved, they will choose to avoid the ones with which they’re unfamiliar.
One thing you can do is put in applications with several lenders, but that comes with its own risks. Namely, you may get hit with multiple hard credit pulls. Also, if you thought working with one inefficient lender would be hard, try working with multiple inefficient lenders at the same time. What you really need is to have someone who knows which lenders are most likely to do your specific loan help you find the right lender.
The SBA Express program doesn’t help speed up the lender’s internal processes. If your lender has inexperienced loan officers, antiquated technology or redundant layers of management, the loan will take months to get funded. That’s another reason we recommend for businesses that are looking for less than $350,000 in SBA funding to work with SmartBiz.
“SmartBiz’s technology has created an ecosystem for borrowers and lenders. The platform allows us to match the right borrower with the right bank. Different banks will say yes or no to different loans. We added more lenders to our marketplace this year so that we can say yes to small businesses more often. Our software can help pair borrowers with the right lender the first time. That means more borrowers getting approved for the amounts they request with payments they can afford.”
— Evan Singer, CEO, SmartBiz
“SmartBiz’s technology has created an ecosystem for borrowers and lenders. The platform allows us to match the right borrower with the right bank. Different banks will say yes or no to different loans. We added more lenders to our marketplace this year so that we can say yes to small businesses more often. Our software can help pair borrowers with the right lender the first time. That means more borrowers getting approved for the amounts they request with payments they can afford.” If you’ve been in business for two or more years and need up to $350,000 in funding, we recommend working with SmartBiz. You can apply online, get approved in minutes and funded within 30 days.
Preferred Lender Program vs. SBA Express Program
Slow SBA funding times have been a common complaint since the loan guarantee program began. The SBA developed two programs to help limit funding delays by reducing the burden they place on lenders, the SBA Express Loan Program and the Preferred Lender Program (PLP).
The primary differences between the PLP and SBA Express Program are:
- PLP lenders have a lot of experience: PLP lenders have lots of SBA lending experience and have a history of making good loans
- SBA allows PLP lenders to make their own decisions: Because of their experience, SBA trusts PLP lenders to make SBA loans with less SBA oversight; this means that PLP-approved lenders can submit underwrite their own loans without waiting on the SBA approval process
- SBA Express Loan Program increases lender independence: The SBA Express Loan Program increases the independence of the lender by reducing their exposure to the loans made under the program; SBA Express loans are smaller — capped at $350,000 vs. $5 million — and the SBA guarantees are also smaller at 50 percent instead of up to 85 percent
- Both are good faith efforts to speed up the process: Both of these programs are a good effort to speed up the government’s process of approving potential applicants and promising to guarantee the loans if you’re approved
The problem is that neither the PLP or SBA Express loan programs help speed up the lender’s internal processes. If your lender has inexperienced loan officers, antiquated technology, or redundant layers of management, the loan will take forever regardless of the SBA. Those are the reasons why traditional lenders take up to 3 months to get SBA loans completed.
That’s what makes SmartBiz’s SBA 7(a) loan program so impressive. They can typically get SBA 7(a) loans funded in under 30 days. If you’ve been in business 2 or more years and need up to $350,000 in funding, we recommend working with SmartBiz. You can apply online and get approved in minutes.
Full List of SBA Loan Programs
SBA Express loans are just one of several SBA loan programs. Many of these programs are made for specific business situations or borrowers. Regardless of the type of SBA loan program, they can all be time-consuming to get funded, taking up to 90 days. Some have options similar to an SBA Express loan while others do not.
More details regarding each type of SBA loan are:
Overview of SBA Loan Programs
| SBA Express | Businesses that need up to $350,000 faster than possible with a traditional SBA 7(a) loan |
| Export Express | Businesses that want to expand their goods or services export business that need up to $500,000 |
| 7(a) Loans | Businesses that need working capital or commercial real estate loans up to $5 million |
| CAPLines | Businesses with seasonal revenue patterns and looking for a working capital line of credit up to $5 million |
| 504 Loans | Businesses that need $14 million+ to finance owner-occupied (51%+) commercial real estate |
| Export Working Capital | Export-heavy businesses that need short-term working capital up to $5 million |
| International Trade | Businesses negatively impacted by imports or that need up to $5 million to expand international trade businesses |
| Community Advantage | Businesses in underserved communities looking for working capital up to $250,000 |
| Disaster Loans | All sizes of businesses and private nonprofits that need recovery funds up to $2 million in disaster areas |
Useful Definitions for SBA Loans
When applying for SBA express loans, you may run into some terminology that is new to you. The table below has some terms and definitions you may find useful during the application process. These terms are primarily related to SBA loan requirements or factors your lender may consider when qualifying you for an SBA loan (e.g., your debt service coverage ratio).
Common terms and definitions you might find helpful when applying for an SBA loan are:
SBA Express Loan Terms and Definitions
| Small Business (Under the SBA) | The SBA defines what a small business is through their size standards; these are based on either employee count or revenue size As an example, the general definition of a small business for manufacturing businesses is less than 500 employees; for nonmanufacturing businesses, it is less than $7.5 million in annual revenue |
| Debt-to-Income Ratio (DTI) | DTI is used to determine a business’s ability manage monthly debt payments; it is calculated by dividing total monthly debt by gross monthly income, and expressed as a percentage |
| Debt Service Coverage Ratio (DSCR) | DSCR is the ratio of available cash to service debt through interest, principal and lease payments |
| SBA Guarantee Percentage | The percentage of the loan balance the SBA guarantees or honors in the event of a default; if the SBA guaranty percentage is 50%, then upon default the SBA will repay the lender up to 50% of the loan principal |
| Lease Subordination | A lease subordination guarantees that the SBA lender is positioned ahead of any potential landlord disputes in the event of a default; a lease subordination is required to be signed by the landlord of any leases the business has |
SBA Express Loan Alternatives
There are times when you need to get funds quicker than the 30- to 90-day timeframe that’s typical for an SBA Express loan. There are fast business loan options that can provide you with the capital you need until you can get a refinance or consolidation loan approved and funded through the SBA. The best fast business loans provide you with funds in as soon as one to three days.
The best fast SBA loan alternatives to an SBA Express loan are:
Small Business Line of Credit
A small business line of credit with an online lender is a fast SBA loan alternative, with funding in as soon as one day. With the best small business lines of credit, you’ll need to provide very little documentation and applications can be completed in minutes. Qualifying is also easier than with an SBA Express loan as borrowers with lower credit scores might be approved.
Unsecured Business Loan
An unsecured business loan from an online lender is another fast SBA loan alternative. You won’t have to provide collateral, which means the application and approval process is faster. You can typically apply for the best-unsecured loans in minutes and receive funding in as soon as a day. This makes an unsecured business loan a great alternative to an SBA Express loan.
Invoice Financing
Invoice financing is a way for businesses to fill cash flow needs by borrowing against their accounts receivable. With some of the best invoice financing companies, applying online takes minutes, and you can get funded in amounts up to $5 million in a matter of days. Plus, with many invoice financing providers, it’s OK if you have credit problems, making this a great fast SBA loan alternative.
SBA Express Loan Frequently Asked Questions (FAQs)
This article has provided a lot of information about SBA Express loans. However, some questions are asked more frequently than others, which we’ve tried to address here. If we haven’t answered your question about SBA Express loans, feel free to share it with us in our forum, and we’ll provide you with an answer.
Some of the most frequently asked questions about SBA Express loans are:
Who Is an SBA Express Loan Right For?
An SBA Express Loan can be a good fit for strong — 680 or higher credit score — borrowers needing to borrow $350,000 with terms up to 10 or 25 years. Even with a streamlined process, the approval process can still take 30 to 90 days. If you need money quicker, a fast business loan might be a better alternative.
How Do I Apply for an SBA Express Loan?
The application process for an SBA Express loan will depend on the lender you choose. All the best SBA lenders will require an application and will collect some paperwork from you and your business. Getting yourself prepared to submit all the possible paperwork and familiarizing yourself with the SBA application process can speed up the process.
Who Can Help Me Get my SBA Loan Paperwork in Order?
If you find getting your SBA loan paperwork in order difficult, an organization such as SCORE is a great place to get free assistance. SCORE pairs business owners with mentors with extensive business experience. With a SCORE mentor, businesses have a greater chance of succeeding and can receive valuable advice on the SBA application process.
Lesli Pintor, a lecturer in business communication with the University of Arizona, consultant and former commercial lender with a regional bank provided the following advice:
As a result, when it comes time to apply for a loan they aren’t well-prepared. I suggest visiting a small business development center or taking advantage of other free resources. Through these resources, you can learn about business plans, how to get your finances in order and lender expectations. This will set your business up for financial success.”
“Many business owners start their businesses because they have an expertise and passion around a certain product or service. Financial processes and planning usually aren’t top of mind, and most owners don’t have the resources to hire outside help at that point. Then, as time goes on, business owners are too busy making and selling to go back and focus on financial records. How Can I Use SBA Express Loan Proceeds?
Express loans proceeds can be used for working capital, to refinance business debt, to purchase equipment or commercial real estate, to fund a business acquisition and more. While the uses of proceeds are flexible, there are strict limits on the borrowing amount up to $350,000, and interest rates are higher — see the current SBA loan rates.
What Credit Score Do I Need to Get an SBA Express Loan?
With SBA Express loans, lenders have the flexibility of setting their own underwriting and approval criteria. This means the minimum credit score will vary between the best SBA lenders. Even so, a credit score of 680 or better will likely be required and is a good score to target when preparing yourself for an SBA loan.
Bottom Line: Fast SBA Loans
SBA Express loans are known for their potentially faster SBA approval times, but they carry higher interest rates. The SBA Express loan terms also feature shorter repayment periods than traditional 7(a) loans. While the Express Loan program speeds up the SBA review process for lenders, if your lender is inefficient, funding typically won’t be quicker than with an SBA 7(a) loan.
If you need funds quicker than the typical 45 to 90 days that SBA loans take, then we recommend applying with SmartBiz. It can get you funded in less than 30 days with more affordable interest rates and longer repayment terms than an SBA Express loan. Get prequalified in less than 10 minutes by filling out its online application.
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