# Small business loans in Rapid City, SD

**Short answer:** The most active SBA lenders in Rapid City, SD since FY2024 are Black Hills FCU (13 loans) and U.S. Bank (8). The median loan was $150,000, and half fell between $67,500 and $531,500. For free help, see the South Dakota Small Business Development Center. Source: SBA 7(a) loan data.

Canonical page: https://www.sbaexpress.loans/south-dakota-small-business-loans/rapid-city/
Data as of: 2026-06-30

## Lenders making SBA loans in Rapid City

Black Hills FCU made the most loans in Rapid City, 25% of the total.

**Lenders with five or more SBA loans in Rapid City, SD, FY2024 to June 2026**

| Lender | Loans | Share |
| --- | --- | --- |
| [Black Hills FCU](https://www.sbaexpress.loans/sba-express-lenders/black-hills-fcu/): Credit union | 13 | 25.5% |
| [U.S. Bank](https://www.sbaexpress.loans/sba-express-lenders/u-s-bank/) | 8 | 15.7% |

Share is the percent of all Rapid City loans in that period. Each name links to that lender's page for South Dakota where one exists.

Rapid City has two lenders with five or more loans since FY2024. Others had fewer, and the South Dakota page counts 58 lenders with at least one approved loan statewide.

## Local help near Rapid City

Rapid City borrowers can start with SBA's district office for South Dakota, an SBDC or SCORE.

53% of Rapid City borrowers since FY2024 were startups or businesses two years old or younger. SBDCs provide counseling and training, and SCORE mentors give advice at no cost, according to SBA.

SBA has one district office for South Dakota. Its page points to state and federal resources and to lenders in the area. The South Dakota Small Business Development Center gives free counseling across South Dakota.

- [SBA South Dakota District Office: SBA district office](https://www.sba.gov/district/south-dakota)
- [South Dakota Small Business Development Center: Small Business Development Center](https://www.usd.edu/sbdc)
- [SCORE mentors in South Dakota: Business mentoring](https://www.score.org/sd/)

Alongside SBA loans, South Dakota runs two loan programs. The [South Dakota page](https://www.sbaexpress.loans/south-dakota-small-business-loans/#loan-programs-in-south-dakota) describes each, and the official pages are linked here.

- [REDI Fund](https://sdgoed.com/program/redi-fund/)
- [South Dakota Works](https://sdgoed.com/program/south-dakota-works/)

## Loan counts and sizes in Rapid City

Rapid City ranks 2nd by loans since FY2024 among the 2 South Dakota cities with 100 or more SBA loans since FY2020. Nationally it is the 526th busiest of the 580 cities that reach 100 loans.

The 51 loans, 14.1% of the 361 in South Dakota, were approved for $21.4 million in all. The median loan was $150,000, close to the national median of $150,300. Half of the loans fell between $67,500 and $531,500. The South Dakota median is $150,000.

**Rapid City, SD compared with South Dakota and the nation, loans from FY2024 to June 2026**

| Measure | Rapid City | South Dakota | U.S. |
| --- | --- | --- | --- |
| Loans | 51 | 361 | 162,355 |
| Median loan | $150,000 | $150,000 | $150,300 |
| 25th percentile | $67,500 | $50,000 | $50,000 |
| 75th percentile | $531,500 | $484,700 | $500,000 |
| Via SBA Express | 41.2% | 32.7% | 35.8% |
| Lines of credit | 11.8% | 17.5% | 28.1% |
| Startups | 29.4% | 23.5% | 16.1% |
| Ownership changes | 13.7% | 14.1% | 10.4% |
| Median term | 10 years | 10 years | 10 years |
| Median spread | 2.5 | 2.55 | 2.75 |
| Charged off | Fewer than 5 | 3.5% | 3.6% |

A quarter of loans were smaller than the 25th percentile loan and a quarter were larger than the 75th. Median spread is in percentage points over Prime. Charged off is the share of FY2020 to FY2022 loans a lender wrote off as a loss. It is shown only for groups of 30 loans or more. Fewer than 5 marks a share that would stand for 1 to 4 loans, which we do not publish. U.S. covers every loan in the file.

41.2% of all loans went through SBA Express, above the national 35.8%. Lines of credit were 11.8% of loans, below the national 28.1%.

SBA loans in Rapid City, SD by size, FY2024 to June 2026

- $50,000 or less (22%): 11
- $50,001 to $150,000 (29%): 15
- $150,001 to $350,000 (18%): 9
- $350,001 to $500,000: Fewer than 5
- $500,001 to $1,000,000 (18%): 9
- $1,000,001 to $2,000,000: Fewer than 5
- Over $2,000,000: Fewer than 5

Labels show each size's share of all loans. The highlighted bar is the size band that contains the median.

By business age, 33.3% of loans went to businesses more than two years old and 23.5% to businesses two years old or younger. Startups received 29.4% and changes of ownership 13.7%. The national startup share is 16.1%.

SBA loans in Rapid City, SD by fiscal year

- FY2020: 28
- FY2021: 27
- FY2022: 24
- FY2023: 24
- FY2024: 29
- FY2025: 15
- FY2026 (through June 30): 7

Fiscal years run October to September. The last bar covers nine of its twelve months.

Volume fell 48% from FY2024 (29 loans) to FY2025 (15), the two latest full years. The busiest full year in the file was FY2024, with 29 loans. FY2026 already shows 7 loans through June 30.

Of the 79 loans Rapid City borrowers received in FY2020 to FY2022, fewer than 5 were charged off by June 30, 2026, against 3.6% nationally. Lenders reported 484 jobs supported across the 51 loans since FY2024, about 9.5 per loan. SBA does not audit these estimates.

## What businesses in Rapid City borrow for

Snack and Nonalcoholic Beverage Bars was the largest borrower group in Rapid City since FY2020, with 7 loans or 4.5% of the total.

The three largest industries made up 12% of all Rapid City loans since FY2020.

**Industries with the most SBA loans in Rapid City, SD, FY2020 to June 2026**

| Industry | Loans | Share | U.S. share |
| --- | --- | --- | --- |
| [Snack and Nonalcoholic Beverage Bars](https://www.sbaexpress.loans/industries/snack-nonalcoholic-beverage-bars/) | 7 | 4.5% | 1.6% |
| [Limited-Service Restaurants](https://www.sbaexpress.loans/industries/limited-service-restaurants/) | 6 | 3.9% | 3.3% |
| [Landscaping Services](https://www.sbaexpress.loans/industries/landscaping-services/) | 5 | 3.2% | 1.7% |

Share is the percent of all Rapid City loans in that period. Industry is the NAICS code on each loan. A name links to the South Dakota page for that industry where one exists.

## A typical loan payment in Rapid City

The median Rapid City loan was $150,000 with a median term of 10 years.

The median variable-rate loan in Rapid City was priced at Prime plus 2.5 percentage points at approval. At today's Prime that spread works out to 9.50%. On $150,000 over 10 years, principal and interest would come to about $1,941 a month. That is arithmetic on past loans, not a rate a lender is offering.

**Payment at today's rate on three Rapid City loan sizes over 10 years**

| Loan | Amount | Monthly payment |
| --- | --- | --- |
| 25th percentile loan | $67,500 | $873 |
| Median loan | $150,000 | $1,941 |
| 75th percentile loan | $531,500 | $6,877 |

Principal and interest only. Fees, a different term or a fixed rate change the payment. This is an illustration from SBA's file, not an offer.

SBA's rate ceiling for this loan size

SBA's maximum for a loan of $150,000 is Prime plus 6.0 percentage points, or 13.00% today. The median variable-rate loan here was priced 3.5 points under that ceiling. Source: 13 CFR § 120.214(d)(2); SOP 50 10 8.1, App. 18, Para. A.2 (p. 395).

Rapid City loans approved since FY2024 had a median starting rate of 9.75% at approval, against 10.25% nationally. Prime changed during those years, so use the spread above, not that rate, as the guide to today's cost.

Run your own numbers: [payments on a $150,000 loan](https://www.sbaexpress.loans/loan-amounts/150000-business-loan/) and [SBA Express payment calculator](https://www.sbaexpress.loans/sba-express-payment-calculator/).

## SBA 504 loans near Rapid City

Rapid City has 20 SBA 504 loans since FY2024, with $15.0 million in SBA and CDC dollars.

The median 504 loan in Rapid City was $505,500 in SBA and CDC dollars, 10% of the $5,000,000 program maximum. The bank's share of each project is separate and is not counted in these figures.

Ally Dakota Development, Inc. is the Certified Development Company (CDC) named on the most loans since FY2020, with 53. Dakota Business Finance follows with 9. The two CDCs listed are named on 62 loans between them.

**CDCs named on five or more 504 loans in Rapid City, FY2020 to June 2026**

| Certified Development Company | 504 loans |
| --- | --- |
| Ally Dakota Development, Inc. | 53 |
| Dakota Business Finance | 9 |

How a 504 loan is split

A standard 504 project is 50% third party lender, 40% CDC debenture, 10% borrower. 504 money pays for major fixed assets such as land, buildings and long-term machinery and equipment, not working capital or inventory. Source: SOP 50 10 8.1, Sec. C, Ch. 1, Para. B (p. 221). SBA keeps a [list of Certified Development Companies](https://www.sba.gov/loans/504-loans/list-of-certified-development-companies/).

## South Dakota cities near Rapid City

Rapid City made up 14.1% of South Dakota's SBA loans since FY2024.

Rapid City is one of 2 South Dakota cities with 100 or more SBA loans since FY2020. The [South Dakota page](https://www.sbaexpress.loans/south-dakota-small-business-loans/) covers all 361 loans in South Dakota. The closest come first, ranked by county and ZIP code on their loans.

- [Sioux Falls: 124 loans, median $129,700](https://www.sbaexpress.loans/south-dakota-small-business-loans/sioux-falls/)

## Common questions about SBA loans in Rapid City

### Which lenders make the most SBA loans in Rapid City?

Black Hills FCU leads with 13 loans in Rapid City since FY2024. U.S. Bank (8) follows. Only lenders with five or more Rapid City loans are counted.

### Which industries get SBA loans in Rapid City?

Snack and Nonalcoholic Beverage Bars leads with 7 loans in Rapid City since FY2020. Limited-Service Restaurants (6) and Landscaping Services (5) follow.

How to read this

Counts come from SBA's 7(a) loan-level data release, as of June 30, 2026. The file lists loans SBA approved. It does not list declined applications, so it cannot show approval odds. We do not publish any figure built on fewer than 5 loans. Location is the borrower's address in the file, and city names are as SBA recorded them. Recent means FY2024 through June 30, 2026. Charge-off rates use FY2020 to FY2022 loans, the only years old enough to have had time to go bad. Jobs supported are lender-reported estimates. [How we build these pages](https://www.sbaexpress.loans/method/).

## Sources

- [SBA 7(a) and 504 FOIA loan-level data, as of June 30, 2026](https://data.sba.gov/dataset/7a-504-foia)
- [SBA, 504 loans](https://www.sba.gov/loans/504-loans/)
- [SBA, resource partners: SBDCs and SCORE](https://www.sba.gov/counseling/local-assistance/resource-partners/)
- [SBA South Dakota District Office](https://www.sba.gov/district/south-dakota)
- [South Dakota Small Business Development Center](https://www.usd.edu/sbdc)
- [SCORE, South Dakota](https://www.score.org/sd/)
- [SOP 50 10 8.1, Sec. C, Ch. 1, Para. D.1 (p. 241); 13 CFR § 120.931](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, Sec. C, Ch. 1, Para. B (p. 221)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [sba.gov/loans/504-loans; SOP 50 10 8.1, Sec. A, Ch. 3, Para. A (p. 51)](https://www.sba.gov/loans/504-loans/)
- [SOP 50 10 8.1, Sec. B, Ch. 2, Para. B.1 (p. 126)](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 § 120.214(d)(2); SOP 50 10 8.1, App. 18, Para. A.2 (p. 395)](https://www.ecfr.gov/current/title-13/section-120.214)