$3M SBA Loan: Monthly Payment and Costs
At 9.75%, a $3,000,000 SBA 7(a) loan is about $39,231 a month over 10 years, the usual term for buying a business, or $26,734 a month over 25 years with real estate.
Monthly payment on $3,000,000
The estimate uses Prime (7.00%, as of September 17, 2026) plus 2.75%, which is where most SBA acquisition loans price. The SBA ceiling for a loan this size is Prime plus 3.00%, or 10.00% today (the maximum rate rules).
| Term | At 9.75% | At the 10.00% cap |
|---|---|---|
| 10 years | $39,231 | $39,645 |
| 25 years | $26,734 | $27,261 |
Ten years applies to a business purchase, working capital and most equipment; 25 years to real estate. A loan that mixes the two gets a blended term (SBA loan terms).
Upfront costs
| Cost | Amount |
|---|---|
| SBA guaranty fee (FY2027 standard) | $81,875 |
| Other closing costs (estimate) | $100,800 |
| Total | $182,675 |
Both are usually financed into the loan. The fee is set by SBA and applies to the guaranteed portion (how the guaranty fee works). The closing-cost figure is an estimate, not a quote, and real estate adds appraisal, environmental and title costs.
The cash flow a lender looks for
On the 10-year schedule the payments add up to $470,773 a year. Lenders commonly look for the business to earn at least 1.25 times its debt payments after the owner is paid, which here is about $588,466 a year of cash flow available for debt service.
If the loan buys a business, the SBA minimum down payment is 10% of the total project. A $3,000,000 loan at 90% of the project means a project of about $3,333,333 and $333,333 from you (the down payment rules).
Where the balance goes, year by year
| 10-year loan | Principal paid | Interest paid | Balance left |
|---|---|---|---|
| Year 1 | $186,459 | $284,314 | $2,813,541 |
| Year 2 | $205,474 | $265,299 | $2,608,067 |
| Year 3 | $226,427 | $244,345 | $2,381,640 |
| Year 4 | $249,518 | $221,255 | $2,132,122 |
| Year 5 | $274,963 | $195,810 | $1,857,159 |
| Year 6 | $303,003 | $167,770 | $1,554,156 |
| Year 7 | $333,902 | $136,870 | $1,220,253 |
| Year 8 | $367,953 | $102,820 | $852,301 |
| Year 9 | $405,476 | $65,297 | $446,825 |
| Year 10 | $446,825 | $23,948 | $0 |
Assumes the rate holds. Most SBA loans are variable and can adjust with Prime.
Questions
What is the monthly payment on a $3M SBA loan?
About $39,231 a month over 10 years at 9.75% (Prime 7.00% plus 2.75%), or $26,734 over 25 years. At the SBA maximum of 10.00% for this loan size, it is $39,645 over 10 years.
What does a $3M SBA loan cost upfront?
The FY2027 standard SBA guaranty fee is $81,875, and other closing costs are roughly $100,800 as an estimate. Both are usually financed into the loan.
How much income do I need for a $3M SBA loan?
The 10-year payments total about $470,773 a year. Lenders commonly look for 1.25 times that in cash flow available for debt service, about $588,466 a year.
Estimates for planning, not a loan offer. Rates use Prime of 7.00% as of September 17, 2026. Your lender sets your actual rate, fees and terms.
Straight from the SBA's rulebook
The SBA rules behind these numbers
- Can a broker or consultant charge a fee on an SBA loan?
- How much is the SBA guaranty fee?
- Is the SBA guaranty fee waived in 2027?
- What are the fees on an SBA 504 loan?
- What fees can a lender charge on an SBA loan?
- Who pays the SBA annual service fee?
- Can an SBA loan be assumed by a buyer?
- Can an SBA loan be increased after approval?