It is May 2, 2026. With the Federal Reserve maintaining its “Higher for Longer” stance (Article #635), many SBA 7(a) loans with quarterly adjustment periods are seeing their interest rates hit 10-year highs this week.
- The Rate Spike: Prime-plus-spread rates on variable SBA loans are now averaging 11.5% to 12.25% for most small LLCs.
- The Refinance Window: The SBA has opened a temporary “Fixed-Rate Conversion” path for borrowers who meet strict debt-service coverage ratios (DSCR).
- The Shark Insight: “Your debt is getting more expensive while you sleep. Check your loan documents today. If you are on a variable rate, look into the 504 Refinance Loophole (Article #643) or the SBA’s conversion program. Paying a small fee to lock in a fixed rate now is better than bleeding cash flow in Q3.”