#business-loans
Business Loans
Explore business loan options, rates, and financing strategies
The Fed Is on Hold: What the June 2026 Dot Plot Means for Your Next Business Loan
The June 2026 dot plot moved the median end-of-year Fed funds projection from 3.4% to 3.8%, erasing the cut many borrowers were waiting for. Here is how prime at 6.75% flows into SBA 7(a), term loan, and line-of-credit pricing, when to lock fixed versus float variable, and the debt-schedule bookkeeping that gets you quoted 0.5%-1.0% lower.
A Fed Rate Hike Is Back on the Table: What Small Business Owners Should Do About Variable-Rate Loans and SBA Financing Before the Next FOMC Meeting
A potential 2026 Fed hike would lift prime and SOFR within days, raising payments on variable-rate lines, cards, and SBA 7(a) loans. Learn which loans reprice first, how to stress-test at +50 bps, and what to lock before the next FOMC meeting.
SBA SOP 50 10 8: What the New Collateral and Equity Injection Rules Mean for 7(a) Borrowers
SBA SOP 50 10 8, effective June 1, 2025, dropped the 7(a) collateral trigger from $500,000 to $50,000, requires liens on personal real estate with 25%+ equity for 20%+ owners, and tightened equity injection rules — HELOCs need outside income, seller notes must sit on full standby, and phased ownership buyouts are gone.
The $875 Billion Maturity Wall: A Small Business Guide to Refinancing Commercial Real Estate in 2026
Roughly $875 billion in commercial real estate loans mature in 2026 — about 17% of all outstanding commercial mortgage debt — with rates 150-250 basis points above origination. A practical guide for owner-occupiers and tenants, covering the financing gap, DSCR targets of 1.20x-1.35x, SBA 504/7(a) options, and a nine-month refinancing timeline.
Asset-Based Lending and Inventory Financing: Turning What You Own Into Working Capital
How asset-based lending converts inventory and receivables into working capital — receivables typically earn 80–85% advance rates while inventory gets 50–80%, and your available credit moves with a weekly or monthly borrowing base calculation. Costs, qualification requirements, and how ABL compares to term loans, inventory-only financing, and equity.
The Quick Ratio (Acid-Test Ratio): The Liquidity Number Lenders Trust More Than Your Current Ratio
The quick ratio (acid-test ratio) measures whether a business can cover current liabilities using only cash, marketable securities, and receivables — deliberately excluding inventory and prepaid expenses. Covers the formula with a worked example, why loan covenants often set a quick-ratio minimum instead of a current-ratio one, why 1.0 is the textbook benchmark but fast-turn retailers healthily run 0.3–0.4, and the mistakes that make the ratio misleading.
Asset Coverage Ratio: The Solvency Number Lenders Check Before You Ever See a Term Sheet
The asset coverage ratio measures whether tangible assets could repay total debt in a liquidation — [(total assets − intangibles) − (current liabilities − short-term debt)] ÷ total debt. Below 1.0 is a red flag, 2.0 is a common healthy benchmark, and lenders often write a minimum ACR into loan covenants that can trigger technical default.
How the Fed's Rate Path Actually Hits Your Business Loan: A 2026 Prime Rate Guide
The prime rate — not the federal funds rate — drives variable business loan payments. It sits at 6.75% in mid-2026, with SBA 7(a) loans priced at Prime + 2.25%–3.0%. Here's the payment math on a quarter-point cut (about $37/month on a $250,000 loan) and how to plan around the Fed's uncertain rate path.
The SBA Just Doubled Its Loan Ceiling to $10 Million: How the New 7(a) + 504 Rules Work
As of July 4, 2026, the SBA decoupled its 7(a) and 504 loan caps, letting qualified borrowers combine up to $5 million from each program — $10 million in total SBA-backed financing. Here's who benefits, how the two programs differ, and the structuring mistakes to avoid.
Net Debt to EBITDA: The Leverage Ratio That Decides Your Business Loan
Net debt to EBITDA measures how many years of operating cash flow it would take to repay your debt. Lenders typically cap leverage covenants at 3.0x–4.5x, read below 2.0x as strong, and flag anything above 6.0x — here's how to calculate yours in ten minutes and avoid the mistakes that distort it.
SBA's 2026 Citizenship Rule: What Non-Citizen Business Owners Can Do Now
As of March 1, 2026, SBA 7(a), 504, Microloan, and Surety Bond programs require 100% U.S. citizen or national ownership (with a 5% carve-out), ending green card holder eligibility. Here's who is affected and the financing alternatives — conventional loans, CDFIs, ITIN lending, and revenue-based funding.
Merchant Cash Advances: Factor Rates, Confessions of Judgment, and the Stacking Trap
A 1.3 factor rate on a $50,000 merchant cash advance means $65,000 owed no matter how fast you repay — an effective APR that can exceed 300%. How confession-of-judgment clauses let lenders freeze bank accounts without a hearing, why stacked borrowers default at 3–5x the normal rate, and which states now ban COJs.