SBA Loan Calculator

Model your SBA 7(a) business acquisition — calculate monthly payments, DSCR, cash required, and owner cash flow. Adjust inputs to compare scenarios.

Deal Inputs

Asking PriceTotal purchase price of the business

Seller's Discretionary Earnings (SDE)Annual owner benefit — includes salary, perks, and discretionary expenses added back to net income

Loan Structure

Down PaymentYour cash equity contribution, typically 10-15% for SBA acquisitions

10%$150,000

Seller NotePortion of the price the seller finances — usually 5-15%, often on standby for 2 years

10%$150,000

Seller Note Term

years

Seller Note Rate

SBA 7(a) Loan

SBA Loan Amount$1,200,000

SBA TermStandard SBA 7(a) acquisition term is 10 years

years

SBA RateSBA 7(a) variable rate: currently Prime + 2.75% ≈ 10.5%

Debt Service Coverage Ratio (DSCR)

1.81xGOOD

0x1.25x SBA min2.0x

Monthly Payments

SBA Loan$16,192

Seller Note$4,496

Total Monthly$20,688

Total Annual$248,254/yr

Deal Summary

Deal MultipleAsking Price / SDE — typical SBA acquisitions are 2.5-4.0x3.3x

Cash Required at ClosingDown payment plus any cash not included in the SBA loan$150,000

Owner Cash Flow

$201,746/yr($16,812/mo)

Financing Structure

Down Payment

$150,000(10.0%)

Seller Note

$150,000(10.0%)

SBA Loan

$1,200,000(80.0%)

Total$1,500,000

Down PaymentSeller NoteSBA Loan

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How to Use This SBA Loan Calculator

This calculator models a standard SBA 7(a) loan for business acquisition. Enter the asking price and the business's Seller's Discretionary Earnings (SDE), then adjust the loan structure to see how different scenarios affect your monthly payments and debt service coverage.

What is DSCR?

The Debt Service Coverage Ratio (DSCR) measures whether the business generates enough cash flow to cover its debt payments. SBA lenders typically require a minimum DSCR of 1.25x, meaning the business earns at least $1.25 for every $1.00 of debt service.

Typical SBA 7(a) Loan Terms

SBA 7(a) acquisition loans typically have a 10-year term with a variable interest rate capped at Prime + 3.0% for loans over $350K. With Prime at 6.75% as of June 2026, most acquisition loans price around 9.5% to 9.75%. Buyers usually contribute 10-15% as a down payment, and sellers may provide a 5-15% seller note to bridge the gap.

SBA 7(a) Loan Guide →What is DSCR? →Calculator Tutorial →