# Can I use an SBA Express loan to buy a business?

**Short answer:** Yes, subject to Appendix 15. The loan cannot exceed $500,000. The lender may do its own valuation when the purchase price is $350,000 or less (SOP 50 10 8.1, Sec. B, Ch. 2, Para. A.2).

Canonical page: https://www.sbaexpress.loans/answers/sba-express-buy-a-business/
Last checked: 2026-11-08

Yes. An SBA Express loan may finance a change of ownership, subject to Appendix 15 (SOP 50 10 8.1, Sec. B, Ch. 2, Para. A.2). The loan cannot exceed $500,000, so it fits smaller deals.

## What is lighter

- Valuation. The lender may do an internal valuation when the Business Purchase Price is $350,000 or less. A close buyer-seller relationship rules that out (Para. A.2.a; Appendix 15, Para. C.1).
- Collateral. The loan must meet Appendix 15's fully secured definition, but the lender need not count other commercial real estate you hold (Para. A.2.c).

## What is not lighter

- Debt service coverage. No reduced standard applies because the loan is SBA Express (Para. A.2.b).
- Initial Acquisition coverage: 1.25:1. Business Expansion coverage: 1.15:1 (Appendix 15, Para. C.2.b).
- Equity on an Initial Acquisition: 10%, which cannot be reduced or eliminated (Appendix 15, Para. C.2.a).
- Term: 10 years of amortization, with only the real estate portion allowed up to 25 years on a blended basis (Appendix 15, Para. B.1).

All other Appendix 15 requirements continue to apply (Para. A.2.d). That includes the lender's site visit (Appendix 15, Para. A.10).

If the purchase price is above $350,000, the lender needs an independent valuation. Costs and lender appetite for acquisitions vary by lender.

## Sources

- [SOP 50 10 8.1, Sec. B, Ch. 2, Para. A.2 (Para. A begins p. 125)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [SOP 50 10 8.1, Appendix 15 (p. 362), Paras. B.1 (p. 370), C.1 and C.2 (Para. C begins p. 371)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)