Small business funding statistics (2026)

Last updated September 2026. Every figure links to its primary source.

In the Federal Reserve's 2025 Small Business Credit Survey, 42% of small businesses that applied for financing received the full amount they sought, and 22% received none. The SBA guaranteed 84,400 7(a) and 504 loans worth $44.8 billion in fiscal year 2025. And in a study of more than 1,000 US small business funding applications, 44.9% of applications for more than $50,000 came from businesses reporting under $10,000 a month in revenue.

Key statistics

• 42% of small business applicants received the full amount of financing they sought in the Fed's 2025 survey; 36% received some or most, and 22% received none.
• 38% of small employer firms applied for a loan, line of credit or merchant cash advance in the 12 months before the Fed's 2025 survey.
• 29% of small business applicants sought financing at an online fintech lender in the Fed's 2025 survey, up from 17% in the 2020 survey.
• 57% of applicants that sought financing at small banks were fully approved, more than at other lender types, in the Fed's 2025 survey.
• 60% of firms that borrowed from online lenders said the actual cost was higher than they expected, against 37% at small banks and 32% at large banks.
• $44.8 billion in 7(a) and 504 loans was guaranteed by the SBA in fiscal year 2025, across 84,400 loans.
• 56% of small businesses that sought financing did so to meet operating expenses, and 46% to pursue an expansion or new opportunity.
• 44.9% of small business funding applications for more than $50,000 come from businesses reporting under $10,000 a month in revenue.

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Applications and approvals

From the Federal Reserve Banks' 2026 Report on Employer Firms, based on the 2025 Small Business Credit Survey.

• 60% of firms applied for financing in the 12 months leading up to the survey, and 38% applied for a loan, line of credit or merchant cash advance.
• Outcomes: 42% of applicants received the full amount of financing they sought, 36% received some or most, and 22% received none.
• Where they applied: applicants most often sought financing at large banks, followed by online lenders and small banks.
• Online lenders are growing: the share of applicants that sought financing at online fintech lenders rose from 17% in the 2020 survey to 29% in the 2025 survey.
• Small banks approved most fully: 57% of applicants at small banks were fully approved, more than at other lenders.
• Cost surprises: 60% of those that borrowed from online lenders said actual borrowing costs were higher than expected, and 4% said lower. At small and large banks, 37% and 32% said higher.
• Debt: 31% of firms had no outstanding debt, up from 21% in the 2020 survey. Of firms with debt, 59% used a personal guarantee and 51% used business assets to secure it.
• Nonapplicants: most firms that did not seek financing said they already had sufficient funding.

About the survey: fielded September 3 to November 14, 2025, with 6,525 responses from a nationwide convenience sample of small employer firms with 1 to 499 employees, released March 3, 2026.

SBA lending, fiscal year 2025

From the SBA's fiscal year 2025 announcement, dated September 30, 2025, the last day of the fiscal year.

• 84,400 7(a) and 504 loans guaranteed, for $44.8 billion.
• 7(a): 77,600 loans for $37 billion.
• 504: 6,750 loans for $7.8 billion.
• Pace: on average about 1,600 loans a week, worth over $860 million.

SBA-backed loans take longer to close than most online financing. For timelines, see small business loan approval times by lender.

Why small businesses borrow

From the same Fed report.

• 86% of firms use financing on a regular basis, most commonly credit cards and loans.
• Reasons for seeking financing: to meet operating expenses (56%) or to pursue an expansion or new opportunity (46%).

What applicants ask for

From the TopFunders.ai Small Business Funding Study, which covers more than 1,000 funding applications from US small businesses. The Fed figures above describe how firms fare; these describe what applicants ask for when they apply.

• Nearly half of applications (48.3%) ask for more than $50,000.
• 53.4% of applicants report monthly revenue under $10,000, the largest revenue band by a wide margin.
• Requests run ahead of revenue: 44.9% of applications for more than $50,000 come from businesses reporting under $10,000 a month, against 61.3% of applications for $50,000 or less.
• Credit: 44.6% of applicants place their own credit below 600, and more than three quarters place it below 650.
• Purpose: 29.0% of applications are to buy equipment, second only to expansion at 34.4%. In transportation, 46.3% of applications are to buy equipment.

Read these figures with their limits. They are self-reported at the point of application and not verified. They describe applicants, not approvals or funding. They are not a sample of all US small businesses. And the application form does not offer working capital as a separate purpose, so the study's purpose shares cannot be set against the Fed's operating-expenses figure.

Using these numbers

• The Fed and SBA figures measure outcomes and supply. The study measures demand. They cover different groups, so they sit side by side, not against each other.
• For what financing costs by product, see what business financing costs.
• For how to weigh offers once you have them, see the cost measures on that page and compare the total repayment, not the rate alone.

Frequently asked questions

What percentage of small businesses get approved for a loan?

In the Federal Reserve's 2025 Small Business Credit Survey, 42% of applicants received the full amount of financing they sought, 36% received some or most, and 22% received none. Applicants at small banks were the most likely to be fully approved, at 57%.

Where do small businesses apply for financing?

Most often at large banks, followed by online lenders and small banks, according to the Fed's 2025 survey. The share of applicants that sought financing at online fintech lenders rose from 17% in the 2020 survey to 29% in the 2025 survey.

How many SBA loans were approved in 2025?

The SBA guaranteed 84,400 7(a) and 504 loans for $44.8 billion in fiscal year 2025: 77,600 7(a) loans for $37 billion and 6,750 504 loans for $7.8 billion.

Why do small businesses borrow money?

In the Fed's 2025 survey, firms that sought financing most often did so to meet operating expenses (56%) or to pursue an expansion or new opportunity (46%).

How much do small businesses ask to borrow?

In a study of more than 1,000 US small business funding applications, nearly half (48.3%) asked for more than $50,000, and 44.9% of those came from businesses reporting under $10,000 a month in revenue. The figures are self-reported by applicants and describe demand, not approvals.

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Sources (checked 2026-09-23)