Small Business Administration (SBA) Loans

A small business owner applying for an SBA Loan.

At Western Alliance Bank, we understand the challenges faced by small business owners. That's why we offer innovative, flexible financing solutions from the SBA. We can help your small business grow and evolve, with an SBA loan* option that's just right for you.

Wondering Which Loan Type is Right for You?

Our lending experts can help you analyze the benefits and requirements of each loan type. Here’s a quick comparison to get started.

Program
SBA 504 Loan1
SBA 7(a) Loan1
SBA Express Loan1
Who Qualifies
  • For-profit business that do not exceed $15 million in tangible net worth
  • Maximum tangible net worth of $20MM and two-year average net profit of not more than $6.5MM
  • For-profit business that meets SBA size standards
  • Maximum tangible net worth of $20MM and two-year average net profit of not more than $6.5MM
  • Same as 7(a)
  • Maximum tangible net worth of $20MM and two-year average net profit of not more than $6.5MM
Funds Can Be Used For
  • Commercial real estate purchases
  • Building improvements
  • Equipment purchases
  • Ground up construction of new facilities
  • Commercial real estate purchases
  • Building improvements
  • Equipment purchases
  • Ground up construction of new facilities
  • Long-term and short-term working capital needs
  • Business acquisition
  • Partner buyout
  • Refinancing business debt
  • Tenant improvements
  • Same as 7(a)
  • Revolving line of credit offered
Benefit to Borrowers
  • Low down payment
  • Fees can be financed
  • Long-term financing
  • Improved cash flow
  • Fixed maturity
  • No balloon payments
  • Fast turnaround
  • Streamlined process
  • Easy-to-use line of credit
Maximum Loan Amount
  • Bank Loan: $15,000,000
  • SBA Loan: $5,000,000
  • $5MM in aggregate SBA Loans outstanding
  • $500,000
Collateral
  • Requires real estate and/or equipment being financed
  • Life insurance for a portion of the SBA loan
  • First position lien filing on all business assets
  • First position deed of trust on real estate (when applicable)
  • Deed of trust filing against personal real estate if there is a collateral shortfall
  • First position lien filing on all business assets for loans $50,001 to $500,000
Maturity
  • Equipment Purchases - up to 10 years
  • Real Estate Purchases - up to 25 years
  • Real Estate Transactions – up to 25 years
  • Non-Real Estate Transactions – Up to 10-years
  • Up to 10 years for revolving line of credit; otherwise, same as 7(a)
Interest Rate
  • Bank Loan: Fixed and adjustable rate options available
  • SBA Loan: Fixed rate for life of the loan
  • Fixed rate for SBA loan established when the SBA funds the loan
  • Declining prepayment fee for 1/2 of term for SBA Loan
  • Fixed and adjustable rate options available with a maximum rate of Prime + 3.00% for most SBA 7(a) loans
  • Fixed (full term of loan or shorter durations) or variable options
  • Fixed (full term of loan or shorter durations) rate options up to 25 years
  • Adjustable Rate with a Maximum Rate of Prime + 6.50% for loans less than $350M
  • Adjustable Rate with a Maximum Rate of Prime + 3.00% for loans greater than $350M 
Making Small Business a Big Priority

Connect with a Banker

Small business customers seek us out for dedicated, knowledgeable bankers who bring an entrepreneurial spirit to meeting the needs of growing companies.  When you complete the contact form, we will connect you with a relationship banker who will help you take care of your banking and financing, so you can stay focused on the big picture1.

 

1. All offers of credit are subject to credit approval. Program information is subject to change based on updates from The Small Business Administration. Borrowers are responsible for any closing costs and bank fees, including but not limited to appraisal, environmental, title, escrow, documentation, and packaging fees. Interest Rates are subject to change.