Market Analysis

SBA Loan Statistics 2026: 120 Verified Figures on 7(a) and 504 Lending

By David Jones, MAI, CCIM

Every figure below is computed directly from the SBA's own loan-level FOIA release, as of 31 March 2026, covering fiscal years 2021 through 2025 unless otherwise stated. Cancelled and never-funded approvals are excluded throughout. Each section is anchor-linked and free to cite.

Scale of the programmes

FY2021–FY2025 combined

1. 267,826 SBA 7(a) loans were originated.
2. $140.2 billion in 7(a) gross approvals.
3. $106.4 billion of that was the SBA-guaranteed portion — 75.9% of gross approvals.
4. 28,591 SBA 504 loans were originated.
5. $26.5 billion in 504 debenture approvals.
6. $35.3 billion in third-party lender participation alongside those 504 loans.
7. 2,797,888 jobs reported created or retained on 7(a) files — borrower-reported and not audited by the SBA.
8. 274,582 jobs reported on 504 files.
9. 7(a) accounts for 90.4% of loans across the two programmes and 84.1% of dollars.

Year by year

10. 7(a) loan count grew 43.4% between FY2021 and FY2025.
11. Average 7(a) loan size fell 29.8% over the same period, from $708,911 to $497,789.
12. 504 loan count fell 53.2% between FY2021 and FY2025, from 8,117 to 3,799.
13. Average 504 loan size rose 11.9%, from $830,953 to $1,021,936.
14. FY2025 was the largest 7(a) year of the period by both count and dollars.

Loan size

7(a), FY2021–FY2025

15. Mean loan size: $523,606.
16. Median loan size: $195,000 — the mean is 2.7 times the median, so most published "average SBA loan" figures overstate the typical loan substantially.
17. 10th percentile: $25,000.
18. 25th percentile: $52,000.
19. 75th percentile: $504,750.
20. 90th percentile: $1,428,000.
21. 99th percentile: $4,700,000.
22. 47.5% of all 7(a) loans are $150,000 or less.
23. 66.3% are $350,000 or less.
24. 14.0% exceed $1 million.
25. 0.85% are at or near the $5 million programme maximum.

Terms, rates and structure

7(a), FY2021–FY2025

26. Average term: 139 months (11.6 years).
27. Median term: 120 months (10 years).
28. 60.8% of loans carry a term of exactly 120 months.
29. 13.2% carry a term of 300 months or longer — typically real-estate-secured.
30. Average initial interest rate at approval: 9.01%.
31. 84.8% of loans carry variable rates.
32. 35.4% of loans had their guaranteed portion sold on the secondary market.
33. 27.9% are revolving lines of credit rather than term loans.

Who borrows

34. 54.5% of 7(a) borrowers were existing businesses more than two years old.
35. 18.2% were new businesses of two years or less.
36. 16.8% were startups where the loan funds opened the business.
37. 10.4% were change-of-ownership transactions.
38. 94.3% of borrowers are corporations or LLCs.
39. 4.7% are individuals or sole proprietors.
40. 1.0% are partnerships.

Industries

Top ten sectors by 7(a) loan count, FY2021–FY2025

Top ten individual NAICS industries

41. Full-Service Restaurants — 10,094 loans.
42. Limited-Service Restaurants — 7,239.
43. Residential Remodelers — 4,915.
44. Landscaping Services — 4,546.
45. All Other Specialty Trade Contractors — 4,483.
46. Fitness and Recreational Sports Centers — 4,237.
47. Restaurants of both types combined account for 6.5% of all 7(a) loans.

Geography

Top ten states by 7(a) loan count, FY2021–FY2025

48. California — 30,239 loans, $23.8B.
49. Texas — 20,306 loans, $16.0B.
50. Florida — 19,992 loans, $12.6B.
51. New York — 16,651 loans, $6.9B.
52. Ohio — 15,924 loans, $5.4B.
53. Michigan — 10,741 loans, $4.4B.
54. Ohio ranks fifth by loan count on the twenty-second largest business base in the country.
55. New York's average loan of $414,000 is well below the national mean, reflecting a high-volume, small-ticket market.

Franchises

56. 11.9% of 7(a) loans went to franchised businesses.
57. 31,871 franchise loans in the period.
58. 2,972 distinct franchise brands appear in the data.

Most-financed franchise brands, FY2021–FY2025

59. The UPS Store — 768 loans.
60. Hotworx — 364.
61. Crumbl — 244.
62. Quality Inn by Choice Hotels — 236.
63. Subway — 226.
64. Anytime Fitness — 218.

Performance

Measured on seasoned FY2015–FY2019 originations

65. 6.92% of loans have been charged off.
66. 2.71% of approved dollars have been charged off — the dollar-weighted rate is far lower than the count rate, because small loans fail more often.
67. 75.4% have been paid in full.
68. 7.42% of FY2021–FY2025 loans are currently in a distressed status — liquidation, delinquency, past due, deferment, or purchased without charge-off.

Charge-off rate by sector, FY2015–FY2019 originations

69. The spread between the safest and riskiest major sector is 2.8 to 1.
70. Accommodation and food service — the sector most often described as high-risk — sits mid-table at 7.09%, below construction and retail.

Lenders

71. 2,028 institutions originated at least one 7(a) loan in FY2021–FY2025.
72. 183 Certified Development Companies originated 504 loans.

Largest 7(a) originators by loan count

73. The Huntington National Bank — 33,667 loans, 12.6% of the market.
74. TD Bank — 12,625 loans, 4.7%.
75. U.S. Bank — 11,006 loans, 4.1%.
76. Wells Fargo — 9,249 loans, 3.5%.
77. BayFirst National Bank — 8,147 loans, 3.0%.
78. The top ten lenders hold 41.5% of all 7(a) loans.
79. The top fifty hold 66.7%.
80. 950 lenders — 47% of all participants — originated fewer than ten loans across the entire five-year period, together accounting for 1.2% of the market.

Largest CDCs by 504 loan count

81. Mortgage Capital Development Corporation — 1,917 loans.
82. Florida Business Development Corporation — 1,421 loans.

Definitions used here

Source and licence

Frequently asked questions

Compiled by the research team at sba-feasibility-study.com from public SBA data. Last updated: 28 July 2026. Next scheduled update: Q4 2026.