Many SBA loans use a 10% borrower contribution, but startups, special-use properties, or weaker files may need more.
Many SBA loans use 10% down as a common borrower contribution, but 10% is not automatic for every deal. The final equity requirement depends on the program, transaction type, risk profile, and lender guidelines.
A stronger established business with good cash flow may have a better chance of qualifying with 10% down. A startup, special-use property, or weaker borrower profile may require 15% to 20% down.
The right question is not only how much down is required, but whether the business will have enough cash flow and reserves after closing.
SBA down payments often start around 10%, but may rise to 15% to 20% for startups, special-use property, or weaker files.
SBA 7(a) down payments often start near 10%, but may be higher for startups, acquisitions, or weaker credit profiles.
SBA 504 down payments are often around 10%, but startups or special-use properties may require 15% to 20% equity.
SBA equity injection commonly starts around 10%, but 15% to 20% may be required for higher-risk transactions.
Have an SBA loan scenario to review? Market Direct Capital can help evaluate structure, eligibility, and next steps.
Request Quote