# Can an SBA CAPLine be renewed, and for how long?

**Short answer:** Yes, within limits. A CAPLine under 10 years can be renewed if total revolving time stays within 120 months. A renewal extends the maturity and keeps the same loan number (SOP 50 10 8.1, Appendix 17, Para. B.5).

Canonical page: https://www.sbaexpress.loans/answers/capline-term-and-renewal/
Last checked: 2026-11-08

Yes. A CAPLine with a maturity under 10 years can be renewed. The total revolving period may not exceed 120 months (SOP 50 10 8.1, Appendix 17, Para. B.5). A renewal is an extension of maturity, not a new loan, so the loan number stays the same.

## How long a CAPLine can run

- Working Capital, Contract and Seasonal CAPLines: up to 10 years.
- Builders CAPLines: up to 60 months plus the estimated time to complete construction or rehabilitation (13 CFR 120.396).

## The fee at renewal

If the original maturity was 12 months or less and the new maturity is longer, an additional guaranty fee is due. The FY2027 upfront fee on a maturity of 12 months or less is 0.25% of the guaranteed portion (Information Notice 5000-881797, p. 2).

## Single-purpose lines

A Contract, Seasonal or Builders CAPLine can finance a single transaction. Its maturity should then be tied to the contract, seasonal cycle or project completion date (Appendix 17, Para. B.5).

## Exit strategy

Every CAPLine must have an exit strategy. The final disbursement should come early enough for financed assets to turn back into cash before final payment (Appendix 17, Para. B.5).

Whether to renew is the lender's credit decision. For a Working Capital CAPLine, each renewal requires a full credit and collateral review (Sec. B, Ch. 4, Para. F). If the review fails, no further disbursements may be made and the loan may not be renewed.

## Sources

- [SOP 50 10 8.1, Appendix 17, Para. B.5 (Para. B begins p. 391)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [13 CFR § 120.396](https://www.ecfr.gov/current/title-13/section-120.396)
- [SBA Information Notice 5000-881797, p. 2 (effective October 1, 2026)](https://legacy.sba.gov/document/information-notice-5000-881797-fy-2027-7a-program-fees)
- [SOP 50 10 8.1, Sec. B, Ch. 4, Para. F (p. 154)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)