When your business needs capital quickly, waiting weeks or months for loan approval isn't always an option. The SBA Express loan program offers a faster path to funding while still providing the benefits of SBA-backed financing.
Designed for businesses that need speed without sacrificing the favorable terms of SBA loans, Express loans can be approved in as little as 36 hours. Here's everything you need to know about this accelerated funding option.
What Is an SBA Express Loan?
SBA Express is a streamlined version of the standard 7(a) loan program. It allows approved lenders to use their own forms and procedures, resulting in significantly faster turnaround times. The SBA guarantees 50% of the loan amount, compared to 75-85% for standard 7(a) loans.
| Feature | SBA Express |
|---|---|
| Maximum Amount | $500,000 |
| SBA Turnaround | 36 hours or less |
| SBA Guarantee | 50% |
| Revolving Lines | Available up to $500,000 |
What Can You Use Express Funds For?
SBA Express loans offer the same flexibility as standard 7(a) loans. Approved uses include:
- Working capital: Cover operational expenses and manage cash flow
- Equipment purchases: Buy machinery, vehicles, or technology
- Inventory: Stock up for seasonal demand or growth
- Business expansion: Open new locations or enter new markets
- Debt refinancing: Consolidate existing business debt
- Revolving line of credit: Access funds as needed for ongoing expenses
Express Loan Requirements
While Express loans have faster processing, qualification standards remain similar to standard 7(a) loans:
Business Requirements
- For-profit business operating in the U.S.
- Meet SBA size standards for your industry
- Demonstrate ability to repay from business cash flow
- Have invested equity in the business
Owner Requirements
- Good personal credit (typically 650+ score)
- No recent bankruptcies or defaults on government loans
- Personal guarantee required for owners with 20%+ ownership
Express vs. Standard 7(a): Which Is Right for You?
Choosing between Express and standard 7(a) depends on your priorities:
Choose SBA Express When:
- You need funds quickly (within 2 weeks)
- Your loan amount is under $500,000
- You have strong credit and financials
- You want a revolving line of credit
Choose Standard 7(a) When:
- You need more than $500,000
- You want the lowest possible interest rate
- Your credit profile needs the higher SBA guarantee
- Time isn't your primary concern
See If Express Is Right for You
Get matched with lenders offering SBA Express loans based on your business profile.
Check EligibilityInterest Rates and Terms
SBA Express loans follow the same interest rate guidelines as standard 7(a) loans, with rates tied to the prime rate plus a spread. Terms depend on the use of funds:
- Working capital: Up to 10 years
- Equipment: Up to 10 years or useful life of equipment
- Real estate: Up to 25 years
- Revolving lines: Up to 10 years with annual renewal
The Express Line of Credit Option
One unique feature of SBA Express is the ability to establish a revolving line of credit. This works similarly to a business credit card, allowing you to draw funds as needed up to your approved limit and only pay interest on what you use.
Lines of credit are particularly useful for businesses with seasonal fluctuations, unexpected opportunities, or ongoing working capital needs. You get the flexibility of a credit line with the favorable terms of SBA financing.
How to Apply
To maximize your chances of quick approval:
- Work with an Express lender: Not all SBA lenders offer Express loans
- Prepare documentation: Have tax returns, financials, and business documents ready
- Know your numbers: Be prepared to discuss cash flow, revenue, and how you'll use the funds
- Act quickly: Respond promptly to lender requests to maintain the speed advantage
SBA Express loans bridge the gap between the speed of alternative lenders and the favorable terms of SBA financing. If you need capital quickly and have the financial strength to qualify, Express could be the ideal solution for your business.