SBA Hot Topic Tuesday: SBA Announces FY 2026 7(a) and 504 Loan Fees — Good News for Manufacturers
by Bob Coleman
Founder & Publisher
Effective October 1, 2025, the Small Business Administration has released its annual fee schedules for both the 7(a) and 504 loan programs for Fiscal Year 2026. Each year, SBA adjusts fees to ensure the programs remain budget-neutral and aligned with estimated subsidy costs. This year’s notices bring important updates — including significant relief for U.S. manufacturers.
7(a) Loan Program Fees
The Lender’s Annual Service Fee for FY 2026 is set at 0.55% of the outstanding balance of the guaranteed portion of each loan. Lenders are not permitted to pass this fee on to borrowers.
The Guaranty (Upfront) Fee schedule remains tiered by loan size and maturity, with percentages ranging from 2% to 3.75% for loans exceeding $150,000. Short-term loans of 12 months or less carry a reduced 0.25% fee.
Waiver for Manufacturers
For 7(a) loans to manufacturers (NAICS sectors 31–33) of $950,000 or less, the upfront guaranty fee is waived entirely. This targeted relief lowers the cost of capital for small manufacturers, a sector targeted by the Trump 2.0 as critical to U.S. economic growth and job creation.
Additional provisions apply:
- SBA Express loans made to veteran-owned businesses continue to have a $0 upfront fee.
- Export Working Capital and Working Capital Program loans have their own reduced fee schedules.
- Special rules apply when multiple loans are approved within 90 days for the same borrower.
504 Loan Program Fees
For FY 2026, SBA also finalized the 504 upfront guaranty and annual service fees.
Waiver for Manufacturers
For 504 loans to manufacturers (NAICS sectors 31–33), including both Debt Refinance with Expansion and Debt Refinance without Expansion, all upfront and annual fees are waived.
Standard 504 Loan Fees
For all other 504 loans (except manufacturer projects):
- Upfront guaranty fee: 0.50%
- Annual service fee: 0.209% of outstanding balance
For 504 Debt Refinance without Expansion loans (non-manufacturers), the annual service fee is slightly higher at 0.2115%.
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Coleman’s 15th Annual SBA Hospitality 7(a) & 504 Financing — Webinar 9/16
Hospitality continues to be one of the busiest sectors for SBA financing. In 2025 so far, SBA has released SOP 5010 8 and has reinstated the Franchise Directory. These changes directly affect how lenders evaluate brand eligibility, structure transactions, and document affiliation. The impact will carry through 2026, shaping credit standards and the way hospitality loans are reviewed.
Our 15th annual webinar is built to translate recent policy shifts into clear, practical steps for lenders. You’ll learn how to adapt your underwriting process to today’s SBA requirements, avoid common pitfalls, and create stronger credit memos.
Leverage ChatGPT & Microsoft Co-Pilot to Craft SBA 7(a) Credit Memos — Onsite Workshop in Ontario, CA on 9/25
Bob Coleman will lead a full-day workshop teaching how to use AI tools like ChatGPT and Microsoft Co-Pilot to streamline SBA 7(a) credit memo preparation. Attendees will receive hands-on training, work through real loan examples, and get ready-to-use templates to improve their underwriting process.
The event takes place on September 25 from 9AM to 4PM PT at AmPac Business Capital near Ontario International Airport, with a networking dinner the evening before. It is designed for SBA underwriters, credit analysts, lending managers, and bank executives looking to boost efficiency and accuracy. Registration is $795 per attendee, and seats are limited.
SBA Secondary Market Summit — December 4, 2025
Coleman’s SBA Secondary Market Summit is back for 2025! For our 18th year, we’re excited to partner with the National Rural Lenders Roundtable (NRLR) to bring you two premier events under one roof in Washington, DC. Bob Judge will bring his decades of industry knowledge and expert insight to give us a glimpse of what to expect in 2026. Bob Coleman will moderate and put together the only program that brings together the Big Four of the SBA secondary market: Brokers, Investors, Sellers and SBA.
Early registration for the Summit is now open with a special early bird offer — one seat for just $995 if purchased by August 15. Don’t miss this opportunity to save!
Coleman’s SBA Loan Broker/Lender Table — Twice-Monthly Virtual Calls
Coleman’s Table gives high-level SBA loan brokers the opportunity to participate in an elite group of SBA lenders who will share how to present and get approval for your client’s SBA loans.
Every other Thursday at 12PM ET, Coleman hosts a Zoom Meeting for Coleman Table members of SBA loan brokers and SBA lenders. Lenders will present their credit box for specific industries and Brokers will be able to ask questions about specific deals.
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