SBA loans by state
SBA loans in Tennessee: 842 approvals in FY 2026, median $300,000
504 lending was light, 22 approvals. Only 10% of the loans came from lenders based in Tennessee.
Independent site, not a lender and not affiliated with the U.S. Small Business Administration. Loans are applied for only with an SBA lender.
Your loan against approvals in your state
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Tennessee: 7(a) loans approved last year
842
| Your rate vs. last year’s loans of this size, all states | about the median for this size |
| Tennessee: median rate at approval, $250,001 to $350,000 | 9.75% |
| Tennessee: median 7(a) loan last year | $300,000 |
| Payment over 10 years, SBA fee added to the loan | $4,011/mo |
Last year’s loans: the 7(a) loans SBA approved from October 1, 2025 to September 30, 2026 (fiscal year 2026), in SBA’s public loan file of September 30, 2026. Rates at approval were set when prime was 6.75% or 7.00%; today: prime rate 7.00% on November 2, 2026. Your rate is compared on its margin over prime, so the change in prime since last year does not count against you.
Tennessee, FY 2026: 842 SBA 7(a) approvals for $559.2 million (24th of the 50 states and DC, SBA file of September 30, 2026). 504 lending was light, 22 approvals. Only 10% of the loans came from lenders based in Tennessee. The median loan, $300,000, was the 9th largest of the 50 states and DC. Express was used for only 22% of loans. Franchises took 21% of loans. Credit lines were only 14% of approvals. 22% of loans went to businesses not yet open. No lender dominated: the busiest made 12% of loans. Loan sizes were even, with an average of $664,090. Lending was spread out; Davidson County led with 15%. 16% of approvals were later cancelled. The state stood out for loans to offices of certified public accountants. Today’s cap on a $300,000 variable loan: 11.50%.
Fee notices read and loan file counted by Radif Partners · Editorial policy · Method and sources
| Lender | FY 2026 loans | Median loan | Median variable rate | Lender’s home state |
|---|---|---|---|---|
| Newtek Bank | 101 | $150,000 | 9.75% | Florida |
| U.S. Bank | 87 | $40,000 | 10.74% | Ohio |
| Northeast Bank | 64 | $150,000 | 9.75% | Maine |
| Live Oak Banking | 42 | $512,500 | 8.40% | North Carolina |
| Pinnacle Bank | 40 | $1,056,600 | 9.00% | Tennessee (in-state) |
Hardly any 504 loans
Only 22 504 debentures went to Tennessee projects against 842 7(a) loans, a ratio 3rd lowest among the 50 states and DC. The CDC most present was Brightbridge, Inc.. For a building, the 504 route is still open and worth pricing against a 7(a) real estate loan.
Almost no in-state SBA lending
Home-state lenders made just 10% of Tennessee’s loans, 8th lowest among the 50 states and DC. A borrower here usually ends up with Newtek Bank and U.S. Bank, dealing by phone and online rather than at a branch. Margins: 2.25 points over prime at the median for in-state lenders, 2.75 points for the others.
Among the largest SBA loans in the country
Tennessee’s median loan of $300,000 is 6th highest among the 50 states and DC. 41% of its loans were above $350,000, where the variable cap falls to prime plus 3 points and the guaranty fee climbs to 3.5% of the guaranteed part once the loan passes $700,000.
Express is rarely used
SBA Express made up only 22% of Tennessee’s approvals, 8th lowest among the 50 states and DC. Preferred Lenders took 73% and loans processed by SBA itself 4%, so most borrowers here get the full 85% or 75% guaranty.
| Loan size | Loans | Median variable rate, FY 2026 | SBA maximum today |
|---|---|---|---|
| $50,000 or less | 156 | 11.25% | 13.50% |
| $50,001 to $250,000 | 242 | 9.75% | 13.00% |
| $250,001 to $350,000 | 102 | 9.75% | 11.50% |
| over $350,000 | 342 | 9.00% | 10.00% |
Franchise lending stands out
21% of Tennessee’s loans went to franchise units, 6th highest among the 50 states and DC. Aussie Pet Mobile appeared most often.
Credit lines are scarce
Only 14% of Tennessee’s SBA approvals were revolving lines, 8th lowest among the 50 states and DC. Term loans with a fixed repayment schedule make up the rest.
Start-ups borrow a large share
22% of Tennessee’s loans funded a business that was not yet open (16% nationwide). SBA’s lending rules ask a start-up to put in cash of its own (an equity injection) of at least 10% of the total project cost, $33,333 on a project financed by a median-size loan.
No dominant lender
The busiest lender, Newtek Bank, made only 12% of Tennessee’s approvals; 122 lenders shared the rest. With that many lenders active, a second and third quote are easy to get.
Counties with the most approvals: Davidson (130), Shelby (107) and Williamson (83). Trades: full-service restaurants (49), limited-service restaurants (40), residential remodelers (23), fitness and recreational sports centers (23) and plumbing, heating, and air-conditioning contractors (22).
All states compared.