Glossary · The loan itself
Interest rate structure
In short
This refers to how your loan's interest rate is determined, typically fixed or variable, and how it's calculated. It directly impacts your monthly loan payments.
What it means in a deal
Most 7(a) loans have variable interest rates tied to a base rate like the WSJ Prime Rate or Term SOFR, plus a spread. Understanding this structure helps you project future payments and assess interest rate risk. Some loans might offer a fixed rate for a portion of the term, but variable is more common for the full term.
Official sources
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 — Lender and Development Company Loan Programs
U.S. Small Business Administration · SBA Standard Operating Procedure
Last checked 2026-06-15. Official sources control — verify before relying on any rule for a live deal.
Related terms
Common questions about Interest rate structure
- What is the difference between a fixed interest rate and a variable interest rate on an SBA 7(a) loan?
- How is the interest rate cap determined for a variable rate 7(a) loan?
- How often can the interest rate on a variable-rate SBA 7(a) loan adjust?
- How often can the interest rate change on a variable-rate SBA 7(a) loan?
- How often can the interest rate change on my variable rate SBA 7(a) loan?
- Can a lender unilaterally increase the interest rate on a variable rate 7(a) loan?
Defined by CapBench SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
See which SBA lenders would fund your deal
Tell us the business, the price, and where you are — we'll point you to the lenders most likely to approve a 7(a) like yours and flag what trips up approval.
Free · No documents · Usually same-day
Backed by data on 1,000+ SBA lenders and 300,000+ funded deals. Your details go only to lending partners you ask to be matched with — never sold to advertisers.