Originated through our SBA lending partners
SBA loans for contractors, including the Contract CAPLine most lenders never mention.
7(a) up to $5,000,000, a revolving Contract CAPLine against awarded contracts, and 504 for buying your shop or yard. Combined 7(a)+504 cap is $10,000,000.
$0 to apply · Soft credit pull · No impact to your credit score · 4-minute application
How this product is routed. SBA loans are originated through Jobsite Funding's SBA lending partners. We package the file, we know which partner says yes to contractors, and we name them before you sign. Our in-house working capital and Drawline are the first options we review on every file.
The short answer
Three SBA programs matter to contractors. 7(a) goes up to $5,000,000 for working capital and equipment (10-year max term) or owner-occupied real estate (25-year max). Contract CAPLine is a revolving line up to $5,000,000 that advances against the direct cost of performing specific awarded contracts and repays from progress payments — the single most under-used product in construction finance. 504 finances buying your shop or yard at 10% down.
As of July 4 2026 the combined 7(a)+504 cap per borrower is $10,000,000. Expect 650+ FICO, 1.25x DSCR, 1–2 years operating, and 4 to 10 weeks to close.
The three programs
| 7(a) | Contract CAPLine | 504 | |
|---|---|---|---|
| Maximum | $5,000,000 | $5,000,000 | $5,000,000–$5,500,000 CDC portion |
| Structure | Term loan | Revolving line against awarded contracts | 50% bank / 40% CDC / 10% you |
| Use | Working capital, equipment, refinance, acquisition, owner-occupied commercial real estate | Direct cost of performing a specific awarded contract: materials, subcontractors, payroll, mobilization | Owner-occupied shop, warehouse, yard, office |
| Repaid from | Business cash flow | Progress payments as you collect them | Business cash flow |
| Term | 10 yr working capital and equipment; 25 yr real estate | Revolving, re-drawn per contract | 10, 20 or 25 years |
| Rate | Prime + 3.0%–6.5% by size. With Prime at 7.00%, ceilings are 13.50% / 13.00% / 11.50% / 10.00% by loan size. The median 7(a) rate at approval across 162,355 loans (Oct 2023–Jun 2026) was 10.25% | Same ceilings as 7(a) | CDC portion 6.54%–6.61% fixed at the September 10 2026 debenture sale; bank portion typically 7%–9%; blended 7.0%–8.0% |
| Requires | 2+ yr operating, 650+ FICO, 1.25x DSCR, active trade license in every operating jurisdiction | An awarded contract, 1–2 yr in business, 650+ FICO, assignment of contract proceeds as collateral | 2+ yr operating, 650+ FICO, 1.25x DSCR, 51% owner-occupancy (15% down on special-purpose property) |
| Collateral | Varies | Assignment of contract proceeds | The real estate |
Contract CAPLine, explained properly
Most contractors have never heard of the Contract CAPLine, and most business lenders will not mention it because it takes work to place. It is the closest thing the federal government has built to a product designed around a schedule of values.
You win a contract. The CAPLine advances against the direct cost of performing that contract — materials, subs, payroll, mobilization. You perform, you bill, the owner pays, and the line repays itself from the progress payments. Then the next contract is awarded and the line revolves again.
The trade-off, stated plainly: the SBA lender takes an assignment of your contract proceeds as collateral, the file takes 4–10 weeks, and you need 650+ credit and an awarded contract in hand. If you need money for a job that starts in three weeks, a CAPLine will not exist in time. That is what the Drawline is for — and the two coexist well: Drawline for speed and for pre-award costs, CAPLine for the big awarded jobs.
SBA fees, stated honestly
SBA fees are set by statute and schedule, not by us, and they are worth knowing before you start a file.
- 7(a) upfront guaranty fee on the guaranteed portion, for loans approved October 1 2026 – September 30 2027: 2% up to $150,000 · 3% on $150,001–$700,000 · 3.5% on $700,001–$1,000,000 · 3.75% above $1,000,000 · 0.25% on maturities of 12 months or less.
- All-in upfront cost on a $500,000 7(a) is roughly 3%–4% of the loan.
- 504 fees: 0.50% guaranty, 1.5% CDC processing, 0.25% SBA funding — about 2.5%–3.5% of project cost.
- Prepayment on 7(a) loans of 15+ years: 5%, 3% and 1% in years 1–3 when more than 25% of the balance is prepaid in a year.
License bonds
License bonds. Most SBA lenders require your state license bond — typically $5,000 to $25,000 depending on trade and state — to be active at closing. This is a state licensing requirement, not an SBA program requirement.
The SBA's Surety Bond Guarantee program for performance and payment bonds is a separate thing. Ask us and we will point you to a surety agent, because we do not write bonds.
The Contractor Standard
Our published minimums. No login, no form, no phone call to find out.
| Requirement | Jobsite Funding |
|---|---|
| Minimum credit score | None for working capital, the Drawline, or invoice factoring. We underwrite cash flow. 600+ for equipment financing. 650+ for SBA and bank term loans. |
| Time in business | 6 months |
| Revenue | $180,000 in trailing-12-month business deposits. Not a monthly minimum. |
| Slow months | Up to 2 months under $5,000 in your last 12 — no penalty, no explanation required. |
| Bank statements | 6 months. We read 6, not 3, because 3 months of a contractor's statements is a season, not a business. |
| Also counts as revenue | Approved pay applications, signed contracts with a schedule of values, and retainage receivable. Money you have earned but not yet been paid. |
| Funding range | $10,000 to $2,000,000 underwritten in-house. Up to $10,000,000 through our bank and SBA partners. |
| Time to funding | Same business day on complete files received before 11:00 AM ET. 24 hours is typical. |
| Contract length | 2 pages. |
| Early payoff | Discount of up to 30% off the remaining balance. No prepayment penalty on any in-house product, ever. |
| Collateral | None required for working capital or the Drawline. Equipment financing is secured by the equipment. |
| Personal guarantee | Yes, on in-house products. Standard for the industry and we are not going to pretend otherwise. |
| License | Active state or local trade license where your work requires one. |
| Business type | US business with a US business bank account and an EIN. Sole proprietor, LLC, S-corp, C-corp, partnership — all eligible. |
| Where we lend | All 50 states. |
| Cost | Working capital: a fixed total cost, disclosed in dollars in the agreement before you sign, over 3 to 18 months. Drawline: 1.8% to 4% per 30 days on the drawn balance only. Equipment: 7.9% to 24.9% APR, 24 to 72 months. |
| What it costs to apply | $0. Soft credit pull. No impact to your personal credit score. |
What we will decline: businesses under 6 months old, businesses with 3 or more open advances already in place, federal or state tax liens without a payment plan, and any applicant with an open bankruptcy. We will tell you on the phone, the same day, and we will tell you why.
Off-Season Step-Down: name up to 4 slow months at application and payments in those months are 40% of the in-season payment, with the deferred principal re-amortized across the in-season months. It is written into the contract at origination, not negotiated after you miss. Available on working capital and the Drawline.
Criteria last reviewed: 21 October 2026
Seasonal and project-lumpy revenue. We gate on $180,000 of trailing-12-month deposits rather than a 3-month average, we allow up to 2 months under $5,000 in that window with no explanation required, and we size the offer off your 3 strongest consecutive months. Off-Season Step-Down drops your payment to 40% in up to 4 months you name at application, written into the contract at origination.
Note on this product: SBA files carry the stricter partner gate — 650+ FICO, 1.25x DSCR and 1–2 years operating — rather than the base Contractor Standard above, which governs our in-house products.
Keep reading: the Drawline · term loans · equipment financing · the WIP schedule · all six products
SBA loans, answered
- What is an SBA Contract CAPLine and who qualifies?
- A Contract CAPLine is an SBA-guaranteed revolving line of up to $5,000,000 that advances against the direct cost of performing specific awarded contracts and repays from the progress payments on those contracts. You need an awarded contract in hand, 1–2 years in business, a 650+ FICO, and you grant an assignment of the contract proceeds as collateral.
- How much can a contractor borrow with an SBA loan?
- Up to $5,000,000 per program. As of July 4 2026 the combined 7(a)+504 cap per borrower is $10,000,000.
- What are current SBA rates for contractors?
- 7(a) is priced at Prime + 3.0% to 6.5% depending on loan size. With Prime at 7.00%, the ceilings are 13.50%, 13.00%, 11.50% and 10.00% by size band. The median 7(a) rate at approval across 162,355 loans from October 2023 to June 2026 was 10.25%. On 504, the CDC portion priced at 6.54%–6.61% fixed at the September 10 2026 debenture sale, with a blended all-in of roughly 7.0%–8.0%.
- How long does an SBA loan take for a construction business?
- 4 to 10 weeks. If the money is needed for a job starting in three weeks, that is working capital or the Drawline, which fund in 24 hours.
- Can I use an SBA 504 loan to buy my shop or yard?
- Yes — that is exactly what 504 is for. The structure is 50% bank, 40% CDC, 10% you, at 10, 20 or 25 years, on property that is at least 51% owner-occupied. Special-purpose property requires 15% down.
- What credit score do I need for an SBA loan?
- 650+ owner FICO across the programs, with a 1.25x DSCR and an active trade license in every jurisdiction you operate in.
- What does an SBA loan cost upfront?
- The 7(a) upfront guaranty fee for loans approved between October 1 2026 and September 30 2027 is 2% up to $150,000, 3% from $150,001 to $700,000, 3.5% from $700,001 to $1,000,000 and 3.75% above that. All-in upfront on a $500,000 7(a) is roughly 3%–4% of the loan. 504 fees run about 2.5%–3.5% of project cost.
- Does Jobsite Funding fund SBA loans directly?
- No. SBA loans are originated through our SBA lending partners. We package the file and name the partner before you sign. Working capital, the Drawline and equipment financing are the products we underwrite and fund in-house.
An awarded contract is collateral. Let us show you what it is worth.
$0 to apply · Soft credit pull · A person calls you the same business day