Statistics

SBA 7(a) and 504 Loan Volume Statistics 2026: The Alternative MCA Brokers Compete Against

Quick answer

SBA 7(a) lending posted three consecutive strong quarters in FY2025: $8.73 billion in Q1 (up 38% year over year), more than $10 billion in Q2, the second-highest single quarter in the program’s history, and $8.66 billion in Q3, described by AmPac Business Capital as the most sustained run of high lending volume since the SBA began tracking in 1991. More than half of all 7(a) loans in early FY2025 were under $150,000, and more than 80% were under $500,000, a size range that overlaps directly with the deals MCA brokers typically work.

Crestmont Capital’s secondary corroboration puts the full FY2025 total at approximately 77,600 loans totaling $37 billion, up from 70,242 loans and $31.1 billion in FY2024. Neither figure was pulled directly from SBA.gov’s own data tables in this research pass, both bounced to a downloadable dataset that could not be parsed as text, so both totals here are trade-press reporting of SBA data rather than a direct government fetch.

By VA Horizon Team · August 16, 2026 · 6 min read

Three Straight Quarters of Record-Adjacent Volume

SBA 7(a) lending had a genuinely strong run through FY2025. Q1 (October through December 2024) hit $8.73 billion, up 38% year over year. Q2 (January through March 2025) topped $10 billion, the second-highest single quarter in the program’s history. Q3 held at $8.66 billion. AmPac Business Capital describes those three consecutive quarters as the most sustained run of high lending volume since the SBA began tracking the program in 1991.

That framing matters for anyone positioning MCA against SBA financing: this was not a single strong quarter that could be dismissed as noise, it was a multi-quarter pattern.

Most SBA 7(a) Loans Are Small, Not the Headline-Sized Deals

More than half of all SBA 7(a) loans issued in early FY2025 were under $150,000, and more than 80% were under $500,000, per the same AmPac reporting. That size distribution is worth sitting with: the program most people associate with large business acquisitions is, in practice, dominated by loans sized closer to what a merchant might otherwise seek through an MCA.

That overlap is exactly why SBA financing functions as a real alternative a merchant weighs against an MCA offer, not a separate category serving an entirely different size of business.

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The Full-Year Total, and Why It Needs a Caveat

Crestmont Capital’s secondary corroboration puts the full FY2025 total at approximately 77,600 loans totaling $37 billion, up from 70,242 loans and $31.1 billion in FY2024, a figure directionally consistent with the quarterly data above (the first three quarters alone total roughly $27.4 billion of that $37 billion full-year figure).

Neither the quarterly nor the full-year figures here were pulled directly from SBA.gov’s own data tables in this research pass; both sba.gov and legacy.sba.gov redirected to a downloadable dataset that could not be parsed as text. Both totals cited on this page are trade-press and industry-blog reporting of SBA data, not a direct government fetch, and should be re-verified against the SBA’s own “7(a) & 504 Activity Reports” dataset before being cited as an exact, audited total.

What This Means for a Broker Positioning Against SBA Financing

This is reasoning, not a separately cited statistic. A merchant comparing an MCA offer against an SBA loan is not usually comparing against a hypothetical, they are comparing against a program that funded roughly 77,600 loans in a single year, most of them well within MCA deal-size range. SBA financing’s real advantages, lower cost of capital and longer terms, come paired with real friction: paperwork, underwriting timelines measured in weeks rather than days, and collateral or personal guarantee requirements that not every applicant clears.

Positioning MCA honestly against that alternative means acknowledging SBA financing is genuinely competitive on cost, while being clear about the speed and flexibility trade a merchant is making by choosing MCA instead.

Reading This Data Alongside MCA’s Own Approval Figures

The Federal Reserve Small Business Credit Survey already tracks SBA loan application and approval rates directly alongside MCA: a 20% application rate for SBA loans versus 12% for MCA, and full-approval rates of 55% for a mortgage-type product versus MCA’s 48%. Set next to the volume data above, that gives a fuller picture: SBA financing is applied for less often than a business line of credit but still funds a large number of relatively small loans every year, a genuine and sizable alternative sitting in the same rough deal-size range MCA brokers work every day.

The Numbers

SBA 7(a) lending hit $8.73 billion in Q1 FY2025 (up 38% year over year), more than $10 billion in Q2 (the second-highest quarter in program history), and $8.66 billion in Q3.

AmPac Business Capital, SBA 7a Lending 2025: Record Volumes and Small-Business Trends

More than half of SBA 7(a) loans in early FY2025 were under $150,000, and more than 80% were under $500,000.

AmPac Business Capital, SBA 7a Lending 2025: Record Volumes and Small-Business Trends

Full FY2025 SBA 7(a) volume totaled approximately 77,600 loans and $37 billion, up from 70,242 loans and $31.1 billion in FY2024, per secondary industry-blog corroboration not yet independently re-verified against SBA.gov.

Crestmont Capital, SBA 7(a) Loan Statistics: Approval Rates, Averages, and Trends

The Federal Reserve Small Business Credit Survey found a 20% application rate for SBA loans versus 12% for MCA in 2025, with a 55% full-approval rate for a mortgage-type product versus MCA’s 48%.

Federal Reserve Small Business Credit Survey, via deBanked

Sources

The external data in this article draws on the sources below. Figures described in the text as estimates or industry triangulations are directional and are not attributed to a single dataset.

FAQ

How much did SBA 7(a) lending total in FY2025?

Per Crestmont Capital’s secondary corroboration of SBA data, approximately 77,600 loans totaling $37 billion, up from 70,242 loans and $31.1 billion in FY2024. Neither figure was pulled directly from SBA.gov in this research pass, so both should be treated as trade-press reporting pending direct re-verification.

What size are most SBA 7(a) loans?

Smaller than the program’s reputation suggests. More than half of loans issued in early FY2025 were under $150,000, and more than 80% were under $500,000, per AmPac Business Capital, a size range that overlaps directly with typical MCA deal sizes.

Was FY2025 an unusually strong year for SBA lending?

Yes. AmPac Business Capital describes three consecutive strong quarters, including the second-highest single quarter in the program’s history, as the most sustained run of high lending volume since the SBA began tracking in 1991.

How does SBA loan demand compare with MCA demand?

Per the Federal Reserve Small Business Credit Survey, 20% of small businesses applied for an SBA loan in 2025 versus 12% for MCA, with SBA-adjacent products showing a higher full-approval rate (55% for a mortgage-type product) than MCA’s 48%.

Why would a merchant choose MCA over SBA financing if SBA data shows strong volume?

Speed and flexibility, not cost. SBA financing is genuinely competitive on price but comes with underwriting timelines measured in weeks and collateral or guarantee requirements many applicants cannot clear, the trade-off a merchant is making by choosing MCA instead.

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