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What Is The Average Small Business Loan Amount?

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The average small business loan size was $57,882 in the first quarter of 2026, the lowest figure recorded since 2021, according to data from the federal Small Business Lending Survey.

Loan sizes have fallen consistently over the past few years as banks and business owners alike face a tricky macroeconomic environment. 

Average loan sizes and rates of approval

The average business loan approval rate has declined steadily since 2024, slipping from 51.3% to 44.4% over the past two years. The average size of approved loans has also trended down over the same two-year period, dropping from $83,342 to $57,882, with a nearly $20,000 drop from Q4 of 2025 to Q1 of 2026.

It isn’t just harder to get approved for a business loan than it was a couple of years ago — even business owners who get a, “Yes” may not get as much as they hoped. Loan sizes plunged in the first quarter of 2026, likely due at least in part to banks pulling back in response to the start of the conflict with Iran. That can put business owners in a tough spot, forcing them to choose between what they want to do and what they can actually afford to do.

Matt Schulz Profile Image
Chief Consumer Finance Analyst

PeriodApproval rateAverage loan size approved
2026:Q144.4%$57,882
2025:Q441.2%$75,481
2025:Q342.1%$76,222
2025:Q245.2%$79,505
2025:Q146.6%$84,510
2024:Q445.4%$92,542
2024:Q346.6%$90,918
2024:Q247.8%$88,251
2024:Q151.3%$83,342
2023:Q450.7%$89,268
2023:Q352.8%$74,998
2023:Q249.5%$82,636
2023:Q151.0%$109,668
2022:Q449.0%$87,324
2022:Q349.4%$64,523
2022:Q252.4%$67,270
2022:Q151.9%$65,998
2021:Q450.5%$64,241
2021:Q351.3%$87,553
2021:Q249.7%$83,820
2021:Q153.1%$121,839

How we sourced this data

Small business loan demand

From the beginning of 2022 through most of 2025, more banks identified weaker demand for business loans than stronger demand, pointing to a multi-year decline.

That trend reversed in the first quarter of 2026. Banks reporting stronger demand reached 20.83%, compared with 10.42% reporting weaker demand. While stronger demand also briefly outpaced weaker demand in late 2024 and early 2025, this marked the strongest positive gap since early 2022. Most banks, 68.75%, reported no major change either way.

I think that increased demand in Q1 2026 could be a sign that businesses were starting to feel more comfortable amid what remained a pretty uncertain economic environment. However, that bump in demand may prove to be a one-quarter blip rather than the start of a trend, due to the massive economic impact of the war in Iran, which began late in Q1.

Matt Schulz Profile Image
Chief Consumer Finance Analyst

PeriodBanks reporting stronger loan demandBanks reporting no major change in demandBanks reporting weaker loan demand
2026:Q120.83%68.75%10.42%
2025:Q413.38%71.13%15.49%
2025:Q312.75%71.81%15.44%
2025:Q213.38%71.97%14.65%
2025:Q118.40%66.26%15.34%
2024:Q417.26%69.05%13.69%
2024:Q311.93%67.05%21.02%
2024:Q216.85%61.24%21.91%
2024:Q112.35%62.94%24.71%
2023:Q410.67%56.67%32.67%
2023:Q310.00%57.33%32.67%
2023:Q212.23%51.08%36.69%
2023:Q115.38%48.46%36.15%
2022:Q412.69%61.19%26.12%
2022:Q313.28%55.47%31.25%
2022:Q217.29%63.91%18.80%
2022:Q126.23%63.11%10.66%
2021:Q420.16%68.99%10.85%
2021:Q324.35%60.87%14.78%
2021:Q223.28%62.07%14.66%
2021:Q127.10%56.07%16.82%

How we sourced this data

Average business loan size by interest type

Average business loan interest rates change over time, depending on the market. The average interest rate on new fixed-rate loans has trended downward from 8.59% in Q1 2024 to 7.59% in Q1 2026. Variable rates also trended down, dropping from 8.70% in Q1 2024 to 7.34% in Q1 2026. 

Average size of fixed rate loans

The average size of fixed-rate loans declined after a post-pandemic boom in 2022, bottoming out at $85,821 in the first quarter of 2024 before climbing back to $100,090 in Q1 2026.

2026 Q1$100,090
2025 Q1$92,334
2024 Q1$85,821
2023 Q1$98,950
2022 Q1$121,451
2021 Q1$72,372
2020 Q1$97,951

How we sourced this data

Average size of variable rate loans

New variable-rate loans have, on average, been bigger than fixed-rate loans, though the size has swung considerably in recent years, dropping from $311,103 in Q1 2022 to $156,287 in Q1 2025 before climbing back to $218,864 in Q1 2026.

The drastic swings in size over the past four years shows just how unpredictable variable-rate loan sizes have become, likely tracking broader interest rate movements.

2026 Q1$218,864
2025 Q1$156,287
2024 Q1$195,312
2023 Q1$209,440
2022 Q1$311,103
2021 Q1$286,929
2020 Q1$173,698

How we sourced this data

Average SBA 7(a) and 504 loan amounts

According to SBA fiscal year 2025 data, which covers loan approvals through Sept. 30, 2025, the average 7(a) loan was $477,571, while the average 504 loan was $1.15 million. The table below combines activity from the SBA’s two largest loan programs.

The U.S. Small Business Administration (SBA) guarantees loans made by participating lenders to eligible small businesses. Depending on the program, borrowers can access financing from $500 to $5.5 million.

Check out LendingTree’s full guide on SBA loans.

Fiscal year 7(a) + 504 total approved 7(a) + 504 loans approved Average loan amount
2025$45,091,988,200 84,840$531,494
2024$37,788,942,200 76,235$495,690
2023$33,935,044,000 63,286$536,217
2022$34,901,801,990 56,932$613,044
2021$44,754,862,340 61,532$727,343
2020$28,376,710,700 49,417$574,230
2019$28,134,363,000 58,006$485,025
2018$30,126,183,100 66,228$454,886
2017$30,461,181,500 68,648$443,730
2016$28,868,508,343 70,012$412,337

How we sourced this data

SBA 7(a) loan amounts

The SBA’s flagship 7(a) loan program had an average loan amount of $477,571 in fiscal year 2025, which covers loan approvals through Sept. 30, 2025. The 7(a) program can be used for a variety of business needs, including working capital, equipment purchases and commercial real estate.

Fiscal year7(a) total $ approved
2025$37,287,816,200
2024$31,124,036,200
2023$27,515,666,000
2022$25,693,805,700
2021$36,536,756,800
2020$22,549,825,700
2019$23,175,811,000
2018$25,372,539,100
2017$25,447,458,500
2016$24,128,426,343

How we sourced this data

SBA 504 loan amounts

The average SBA 504 loan amount reached $1,154,122 in fiscal year 2025, which covers loan approvals through Sept. 30, 2025. The 504 program helps businesses finance major fixed assets such as commercial real estate and equipment.

Fiscal year 504 total $ approved
2025$7,804,172,000
2024$6,664,906,000
2023$6,419,378,000
2022$9,207,996,290
2021$8,218,105,540
2020$5,826,885,000
2019$4,958,552,000
2018$4,753,644,000
2017$5,013,723,000
2016$4,740,082,000

How we sourced this data

Frequently asked questions

The average approved small business loan amount was $57,882 in the first quarter of 2026, according to data from the federal Small Business Lending Survey.

According to SBA fiscal year 2025 data, which covers loan approvals through Sept. 30, 2025, the average 7(a) loan amount was $477,571, while the average 504 loan amount was $1,154,122.

Most startup businesses apply for $100,000 or less, according to the Federal Reserve, though lenders offer startup financing anywhere from $5,000 to $10 million depending on the loan type and lender.

A reasonable loan amount depends on what your business can comfortably repay, not just what a lender approves. Use LendingTree’s business loan calculator to estimate monthly payments against expected cash flow before committing to an amount.

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