Sba 7a Loans

SBA 7(a) Loans

Market Direct Capital connects borrowers with experienced private non-bank SBA lenders for 7(a) financing. We focus on clear packaging, practical structures, and a smooth path from pre-qualification to closing so you can fund acquisitions, working capital, equipment, or owner-occupied real estate with confidence.

Where 7(a) fits

SBA 7(a) is a versatile program designed to support growth, transitions, and long-term stability for small and lower middle-market businesses.

• Business acquisition or partner buyout: Fund control changes with sensible equity and post-close liquidity.
• Working capital and growth: Hiring, marketing, inventory, and contract mobilization.
• Equipment: New or used assets with terms aligned to useful life.
• Owner-occupied real estate: Purchase or refinance when the business occupies the majority of the space.
• Refinance eligible debt: Improve cash flow where SBA rules allow.

Typical structures

Exact terms depend on lender guidelines and SBA rules. Common patterns include:

• Amortization: Working capital and equipment commonly longer-term amortization; owner-occupied real estate receives the longest available amortization.
• Rates and fees: Priced within SBA limits. All fees are disclosed up front before engagement.
• Security: Available business assets pledged; additional collateral considered case by case.
• Guarantees: Personal guarantees typically required for 20% or greater owners.
• Prepayment: May include standard SBA prepayment provisions on certain terms.

What lenders review

Underwriting focuses on the ability to repay, management strength, and overall credit profile.

• Cash flow and DSCR: Historical and projected ability to service debt.
• Experience: Owner and management background relevant to the business.
• Financials: Trends in revenue, margins, and working capital management.
• Collateral: Business assets and additional support when required.
• Use of funds: Clear plan with realistic assumptions and milestones.

Process

We coordinate packaging and communication so review stays organized and timelines remain clear.

1. Read-out: Goals, timing, and eligibility review with a concise document list.
2. Packaging: Executive summary, sources and uses, projections where needed, and supporting schedules.
3. Underwriting: Direct dialogue with the credit team to confirm structure and conditions.
4. Closing: Finalize diligence, legal, and funding with transparent steps.

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Related programs

• CDC/504 for owner-occupied real estate and major equipment with long-term, fixed-rate second liens.
• MCA to SBA transition to stabilize cash flow before pursuing SBA eligibility.
• Private real estate loans for bridge or hybrid structures prior to SBA takeout.
• Equipment financing to complement an SBA request or address timing needs.