Michigan SBA Loans | LVRG Business Funding
Michigan's #1 SBA Lending Authority | Metro Detroit and All 83 Michigan Counties
SBA Express - SBA 7(a) - SBA 504 | $10,000 to $5,000,000+ | Every Michigan Industry | Every Michigan Market
Current SBA Rates - April 2026
Prime Rate: 6.75%
SBA 7(a) and Express: Variable, negotiated between borrower and lender, subject to SBA maximums. The SBA maximum on loans above $350,000 is currently 9.75%. LVRG delivers rates well below the SBA maximum for qualified Michigan borrowers.
SBA 504: Fixed for the life of the loan. Currently in the mid-to-upper 5% range, pegged to the 10-year U.S. Treasury rate. Never adjusts after closing.
(855) 998-5874 | info@lvrgllc.com | lvrgllc.com/get-in-touch
LVRG Business Funding | 615 Griswold St., Suite 700 | Detroit, MI 48226
Metro Detroit - Grand Rapids - Ann Arbor - Lansing - Kalamazoo - Traverse City - All 83 Michigan Counties
Most Michigan business owners believe getting an SBA loan means walking into their bank and filling out an application. It does not work that way.
Most Michigan banks have either stopped SBA lending entirely or offer one rigid, cookie-cutter product - one structure, one set of terms, no flexibility, no creativity, and no ability to build a loan around what is actually best for your business. A loan officer at a bank approves or declines what you bring them. That is their job. It is not their job to find you the best possible structure. It is not their job to know that a program exists through another lender that gives you 25 years instead of 10, zero down payment instead of 20%, renovation costs and working capital rolled into the same loan - one closing, one payment, 300 months.
That program exists. LVRG has it. Most banks in Michigan will not or cannot underwrite it.
LVRG Business Funding is not a bank. Not a broker. Not an online lending platform. We are a boutique commercial finance company - the full solution for Michigan businesses that need SBA financing structured correctly, placed with the right active lender, and managed from first conversation through funded.
We analyze your business before any lender sees it. We build an institutional-grade loan package. We select the right lender from our network of 35 or more active SBA institutions. Then we manage everything. Underwriting. Conditions. Appraisals. Attorneys. Closing. Funded.
We put the right loan package in place with the right banks and get Michigan business owners the most complete SBA loan solution possible. Every time.
Call (855) 998-5874 to speak directly with a Michigan SBA specialist.
Get in Touch at lvrgllc.com/get-in-touch for a response within 24 hours.
What Is the Best Way to Get an SBA Loan in Michigan?
The best way to get an SBA loan in Michigan is not to walk into your bank and ask for one.
That is the single most expensive misconception in Michigan small business financing - and it costs Michigan business owners millions of dollars every year in declined applications, wrong loan structures, inflated rates, and terms built around what is easiest for the bank rather than what is most advantageous for the business.
Here is what most Michigan business owners do not know.
Most Michigan banks have either withdrawn from SBA lending entirely or offer exactly one rigid, cookie-cutter SBA product - a single program, a single structure, a single set of terms processed by a loan officer following a checklist with no ability to build anything around a specific business, specific goals, or a specific situation. Some banks like certain industries and will not touch others. Some can go 25 years on a term. Others cap at 10. Some will layer a working capital line of credit on top of an SBA loan at the same closing. Most will not. Some can structure interest-only payment periods during construction phases. Most choose not to. Some can access 100% financing on commercial real estate purchases through specific SBA program structures. Many will not underwrite it.
The business owner who calls one bank, receives one answer, and accepts it as the final word on what is available is making a decision with dangerously incomplete information. The SBA sets maximum allowable rates - not minimums. Rates are negotiated between borrower and lender. That means the rate a Michigan business receives depends entirely on who is structuring the deal and which lender they are placed with. The same is true for term length, structure, down payment requirements, and program selection. One bank's answer is one bank's answer. It is not the market's answer.
LVRG Business Funding is the full-market answer. Not a bank. Not a broker. Not an online lending platform. A boutique commercial finance company that operates entirely on the business owner's side of the table - analyzing the deal, building the package, selecting the right lender from a network of 35 or more active SBA institutions, and managing every step from first conversation through funded.
This is why Michigan's most respected financial institutions refer their own clients to LVRG when the deal requires more than their institution can deliver.
When your own bank sends you somewhere else, that somewhere else is LVRG.
Banks Approve or Decline. LVRG Structures.
This is the most important distinction in Michigan commercial lending and the one most business owners never understand until they have already left money on the table.
A bank's job is to evaluate whether a loan application meets their criteria and issue an approval or a decline. That is it. A bank does not analyze your business before you apply to make sure you are positioned for the best possible outcome. A bank does not select the right program from a network of 35 or more active lenders to find the structure that serves your specific situation. A bank does not know - or will not tell you - that a program exists somewhere else that gives you 25 years instead of 10, 100% financing instead of 20% down, renovation costs and working capital rolled into the same loan instead of three separate financing conversations with three separate lenders.
A bank approves or declines what you bring them. LVRG determines what you should be bringing - and to whom - before you ever walk through a door.
Every engagement at LVRG begins the same way. We understand the business completely - financials, cash flow, debt profile, risk factors, collateral position, and growth objectives - before a lender ever sees a single page. We build an institutional-grade loan package that positions the business for approval at the best available terms before it reaches a banker's desk. Then we select the specific lender from our network whose programs, appetite, and current capabilities make them the right institution for that specific deal on that specific day.
From there we manage everything. Lender selection. Submissions. Term negotiation. Underwriting. Due diligence. Coordination with attorneys, accountants, and any third parties involved. From first conversation through closing and funding, we are the business owner's advocate, problem-solver, and capital advisor.
That is the structuring that turns a maybe into a yes. The positioning that gets a deal approved at better rates and stronger terms. The negotiation that happens before anyone signs a document. The follow-through that keeps every moving piece on track so the funding lands when it needs to.
In the past six months LVRG has not encountered a term sheet from any bank - including the largest banks in the country - that we were not able to match or beat for qualified Michigan borrowers. Not because we are louder. Because we have the right programs, the right relationships, and the right process to put the most complete loan solution possible in front of every Michigan business owner we work with.
That is the deal behind the deal. That is LVRG.
Michigan SBA Loan Programs - Rates, Terms, and Structures
The SBA offers three primary loan programs for Michigan businesses. Each serves a distinct purpose. Understanding which program fits a specific situation - and which lender within that program delivers the best structure - is the difference between a loan that serves the business and one that simply gets the deal done.
SBA Express Loans in Michigan
SBA Express loans provide government-backed financing of up to $500,000 with approval in 10 to 15 business days - the fastest SBA program available to Michigan businesses. Rates are variable, subject to SBA maximums, and negotiated between borrower and lender. LVRG's institutional relationships deliver rates well below the SBA maximum for qualified Michigan borrowers.
Loan Amount: Up to $500,000
Rate: Variable, negotiated between borrower and lender subject to SBA maximums. The SBA maximum on Express loans above $350,000 is currently 9.75% at today's Prime of 6.75%. LVRG's institutional relationships deliver rates well below the SBA maximum for qualified Michigan borrowers.
Repayment Terms: Up to 10 years
SBA Guaranty: 50% of loan amount
Approval Timeline: 10 to 15 business days from complete application to funded
Best For: Equipment purchases, working capital, business acquisitions under $500,000, debt consolidation, leasehold improvements, and time-sensitive capital needs
What is an SBA Express loan? An SBA Express loan is a government-backed business loan of up to $500,000 with a streamlined approval process designed to deliver funding in 10 to 15 business days. It is the fastest SBA program available to Michigan businesses and the right tool when speed is the determining variable - an equipment opportunity with a short window, a competitor announcing retirement and wanting to close in 30 days, a contract requiring immediate production investment, or any situation where conventional 60 to 90 day bank timelines are not an option.
Who qualifies for an SBA Express loan in Michigan? Established Michigan businesses with 2 or more years of operating history, $250,000 or more in annual revenue, a personal credit score of 650 or higher for all owners with 20% or more equity, and sufficient cash flow to service the new loan payment alongside existing obligations.
An important note on the SBA Express loan limit: Many Michigan banks and online sources still cite the outdated $350,000 cap. The current SBA maximum for Express loans is $500,000. LVRG works with current program parameters at all times.
LVRG structures SBA Express loans for Michigan manufacturers needing CNC equipment before a production deadline, contractors needing vehicles and tools to fulfill a commercial contract, medical and dental practices upgrading equipment without depleting operating reserves, automotive service businesses expanding capacity, retail operators building out new locations, HVAC and mechanical contractors scaling crews, and every established Michigan business that needs capital quickly and wants the rate and term structure of a government-backed loan rather than an expensive short-term alternative.
SBA 7(a) Loans in Michigan
SBA 7(a) is the most flexible and widely used SBA program available to Michigan businesses - providing up to $5,000,000 or more for commercial real estate, business acquisitions, major equipment, working capital, debt consolidation, partner buyouts, and multi-purpose financing that combines multiple needs into a single loan structure. Rates are variable, subject to SBA maximums, and negotiated between borrower and lender. LVRG's institutional relationships consistently deliver rates well below the SBA maximum for qualified Michigan borrowers.
Loan Amount: $150,000 to $5,000,000+
Rate: Variable, negotiated between borrower and lender subject to SBA maximums. The SBA maximum on loans above $350,000 is currently 9.75% at today's Prime of 6.75%. Fixed rates available on loans under $350,000. LVRG's institutional lender relationships consistently deliver rates well below the SBA maximum for qualified Michigan borrowers.
SBA Guaranty: 85% on loans of $150,000 or less. 75% on loans above $150,000.
Repayment Terms: Up to 10 years for equipment and working capital. Up to 25 years for commercial real estate.
Approval Timeline: 30 to 45 business days from complete application to funded
Down Payment: 10 to 15% depending on purpose and collateral. Certain LVRG program structures can reduce or eliminate the down payment requirement entirely.
Best For: Commercial real estate purchases, business acquisitions, major equipment, partner buyouts, debt consolidation, and multi-purpose financing combining real estate, equipment, and working capital in a single loan
What is an SBA 7(a) loan? The SBA 7(a) is the SBA's primary business loan program - the most flexible and most widely used SBA program available to Michigan businesses. A 7(a) loan can be used for acquiring, refinancing, or improving real estate and buildings; short and long-term working capital; refinancing current business debt; purchasing and installing machinery and equipment; changes of ownership, complete or partial; and multiple-purpose loans combining any of the above. No other SBA program matches this range of eligible uses.
What makes SBA 7(a) better than a conventional business loan in Michigan? SBA 7(a) offers longer repayment terms - up to 25 years for real estate versus 5 to 10 years conventional - lower down payment requirements of 10 to 15% versus 25 to 30% conventional, higher SBA guaranty reducing lender risk and improving approval odds, and the ability to combine multiple purposes into a single loan structure. On a $2,000,000 commercial real estate loan, a 25-year SBA 7(a) term versus a 10-year conventional term reduces monthly debt service by approximately $12,000 per month - capital that stays in the business rather than going to the bank.
SBA 7(a) with interest-only during construction: Within specific SBA 7(a) structures and with specific lenders, interest-only payment periods are available during construction or buildout phases. This preserves cash flow during the period when a Michigan business is investing before it is producing revenue. LVRG knows which lenders in our network offer this structure and builds it into the loan package from the beginning when it applies.
SBA 7(a) combined with a working capital line of credit: LVRG regularly closes SBA 7(a) term loans and working capital lines of credit simultaneously for Michigan businesses - providing long-term capital for a major investment and operational liquidity in a single coordinated closing. Most Michigan banks offering SBA loans do not structure this combination. It requires specific lender capabilities and deal packaging expertise that LVRG delivers as standard practice.
Michigan SBA 7(a) Transaction - West Michigan HVAC Acquisition
A West Michigan HVAC company acquired its primary competitor after the owner announced retirement. The business included customer contracts, three service vehicles, specialized equipment, and two senior technicians. The buyer's bank quoted 35% down, a 7-year term, and required pledging the owner's home as collateral. LVRG structured the SBA 7(a) loan at 15% down, 10-year term, no personal real estate required. The buyer preserved $175,000 in working capital, eliminated the personal asset pledge, and reduced monthly debt service by $2,400. Closed in 38 business days. Combined annual revenue reached $4,100,000 in year one.
Michigan SBA 7(a) Transaction - Shelby Township Automotive Manufacturer
A Tier 2 automotive parts manufacturer in Shelby Township doing $16,000,000 in annual revenue needed commercial real estate financing. LVRG closed a $1,900,000 commercial real estate loan alongside a $200,000 working capital line of credit. Revenue grew 29% within four months of closing.
SBA 7(a) Commercial Real Estate - 100% Financing, 25-Year Term, No Equity Injection
Through specific SBA 7(a) program structures available through LVRG's institutional banking relationships, qualified Michigan businesses can purchase commercial real estate with 100% financing - no equity injection, no down payment - on a 300-month, 25-year term, with renovation costs and working capital included in the same loan. Most Michigan banks will not underwrite this structure. LVRG does.
One loan. One closing. One payment. Twenty-five years. Zero capital required at closing.
The SBA maximum term on a 7(a) loan for real estate is 25 years, including any additional period needed to complete construction or improvements. This program operates at that full maximum - and through specific lender relationships LVRG has built over 20 years, eliminates the equity injection requirement for qualified borrowers.
Think about what that means in practice.
A Michigan business owner purchasing a $2,500,000 commercial building under conventional financing puts $500,000 to $625,000 down on day one. Under this SBA 7(a) structure through LVRG's institutional banking relationships, that same business owner puts zero down, finances the full purchase price, rolls in renovation costs, adds working capital, and pays the loan over 25 years.
The capital that does not go into a down payment stays in the business. It funds equipment. It funds inventory. It funds hiring. It funds the first year of operations in a facility the business now owns rather than leases.
This structure is available through specific institutional banking relationships that LVRG has built and maintained over 20 years - relationships where consistent deal volume, underwriting quality, and long-term performance have created access to programs and structures that most Michigan banks choose not to offer.
SBA 504 Loans in Michigan
SBA 504 loans provide long-term fixed rate financing for owner-occupied commercial real estate and major fixed equipment. The 504 rate is fixed for the entire life of the loan, pegged to an increment above the 10-year U.S. Treasury rate, and is currently in the mid-to-upper 5% range. It is not Prime-based, does not adjust, and does not balloon - ever.
SBA Portion: Up to $5,500,000
Total Project Financing: No ceiling - structured as 50% conventional bank, 40% SBA-CDC, 10% owner equity
Rate: Fixed for the entire life of the loan. Pegged to an increment above the current market rate for 10-year U.S. Treasury issues. Currently in the mid-to-upper 5% range based on present Treasury market conditions. Not Prime-based. Does not adjust. Does not change after closing.
Repayment Terms: 10, 20, or 25-year maturity. Fully amortized. No balloon payments. No rate adjustments. Ever.
Approval Timeline: 45 to 75 business days from complete application to funded
Down Payment: 10% for established businesses. 15% for businesses under 2 years or special-use properties.
Best For: Owner-occupied commercial real estate, long-term machinery and equipment with a useful remaining life of at least 10 years, new construction, facility expansion, and any Michigan business making a long-term real estate commitment requiring complete payment certainty
Cannot Be Used For: Working capital or inventory, speculative investment in rental real estate, or consolidating debt that does not meet SBA qualified debt requirements
What is an SBA 504 loan? The 504 loan program provides long-term, fixed rate financing for major fixed assets that promote business growth and job creation. It is structured as a three-party arrangement: a conventional bank provides 50% of the project cost as a first mortgage, a Certified Development Company provides up to 40% as a second mortgage at a fixed rate guaranteed by the SBA, and the business owner contributes 10% as a down payment. The CDC portion's fixed rate is set at closing and does not change for the life of the loan.
What is the SBA 504 rate in Michigan right now? The 504 CDC rate is pegged to an increment above the current market rate for 10-year U.S. Treasury issues. It is not a Prime-based rate and does not move with Prime. Based on current Treasury market conditions as of April 2026, effective 504 fixed rates are in the mid-to-upper 5% range. The rate set at closing is the rate paid in year 1, year 10, and year 25. It does not adjust, reset, or balloon.
How does SBA 504 compare to a conventional commercial mortgage in Michigan? Conventional commercial real estate financing in Michigan typically requires 20 to 25% down, 10 to 20 year amortization, and a 5 to 7 year balloon payment forcing refinancing at unknown future rates and market conditions. SBA 504 requires 10% down, fully amortizes over 20 to 25 years with no balloon, and fixes the rate on 40% of total project financing permanently. On a $3,000,000 commercial property, SBA 504 requires $300,000 down versus $600,000 to $750,000 conventional - preserving $300,000 to $450,000 in working capital - while eliminating refinancing risk for the entire life of the investment.
Who administers SBA 504 loans in Michigan? SBA 504 loans in Michigan are processed through Certified Development Companies. Michigan-based CDCs include the Michigan Certified Development Corporation and the Great Lakes Capital Fund, as well as national CDCs with Michigan lending authority. LVRG coordinates with the appropriate CDC for each transaction - the business owner does not navigate CDC relationships independently.
SBA 504 Green Energy Program in Michigan: Michigan businesses incorporating qualifying green energy or energy efficiency improvements access enhanced SBA 504 limits - up to $5,500,000 per green project with no aggregate cap across multiple 504 loans. Solar installations, energy-efficient HVAC systems, LED lighting upgrades, insulated building envelopes, and qualifying sustainable design elements trigger Green Energy program benefits. Michigan manufacturers, industrial operators, and warehouse businesses planning new construction or major facility renovation can increase total 504 financing capacity significantly while maintaining the 10% down payment and fixed-rate structure.
Michigan SBA 504 Transaction - Grand Rapids Tool and Die Manufacturer
A Grand Rapids tool and die manufacturer had been leasing their 42,000 square foot facility for 12 years. Purchase price: $2,100,000. Conventional financing quoted 25% down at $525,000, 20-year amortization, and a 7-year balloon at a variable rate. SBA 504 delivered 10% down at $210,000, 25-year fixed term, no balloon. The business preserved $315,000 in working capital, converted 12 years of lease payments into equity-building ownership, and locked in payment certainty permanently. Closed in 58 business days.
100% SBA Financing on Michigan Commercial Real Estate - 25-Year Term, No Equity Injection, Renovation and Working Capital Included
Can a Michigan business get 100% SBA financing on a commercial real estate purchase with a 25-year term?
Yes. Through a specific SBA 7(a) program structure available through LVRG's institutional banking relationships, qualified Michigan businesses can purchase commercial real estate with 100% financing - no equity injection, no down payment - on a 300-month, 25-year term, with renovation costs and working capital included in the same loan.
One loan. One closing. One payment. Twenty-five years. Zero capital required at closing.
The SBA maximum term on a 7(a) real estate loan is 25 years, including extensions and any additional period needed to complete construction or improvements. This program operates at that full maximum and through specific lender relationships LVRG has built over 20 years eliminates the equity injection requirement for qualified borrowers.
What this program means in real numbers for a Michigan business:
On a $2,000,000 commercial building purchase, conventional financing at 20% down requires $400,000 at closing. Standard SBA 7(a) or 504 at 10% down requires $200,000 at closing. LVRG's 100% SBA 7(a) program requires $0 at closing.
The capital that does not go into a down payment remains in the business. Equipment. Inventory. Working capital. The financial cushion that separates businesses that grow into their new facilities from businesses that are undercapitalized from day one.
On top of the building purchase, renovation costs are rolled into the same loan. Working capital is included on top of that. One loan. One closing. The business owner arrives funded, renovated, and capitalized - all on a 25-year structure.
Who qualifies? Established Michigan businesses with strong operating history, demonstrated cash flow covering debt service, solid personal credit, and a commercial real estate purchase meeting owner-occupancy and property requirements. Eligibility is determined during the initial deal analysis - the first conversation with LVRG, before any application is submitted.
How LVRG Compares to Michigan Banks, the MEDC, the SBDC, and the MCDC
Michigan business owners searching for SBA loans encounter four types of resources: commercial banks, the Michigan Economic Development Corporation, the Michigan Small Business Development Center, and the Michigan Certified Development Corporation. Each serves a specific purpose. None of them do what LVRG does.
Michigan Banks and SBA Loans
Michigan banks offering SBA loans operate from a single institution's credit box, a single set of program capabilities, and a single lending appetite that shifts based on their portfolio, regulators, and internal priorities. When a Michigan bank tells a business owner what they can get, they are describing what that one bank can offer - not what the SBA market can deliver. A bank that caps terms at 10 years is not describing an SBA limitation. It is describing their own limitation. A bank that cannot structure a working capital line alongside an SBA loan is not saying the market cannot do it. It is saying they will not. A bank that declines an application is not saying the business does not qualify for SBA financing. It is saying the business does not qualify at that bank.
Michigan Economic Development Corporation
The MEDC administers state economic development incentive programs including grants, tax incentives, and targeted programs for specific industries and geographies. The MEDC does not originate, structure, package, or close SBA loans. Michigan business owners searching for MEDC business loans or MEDC small business financing who need SBA lending should contact LVRG - not a state government agency.
Michigan Small Business Development Center
The Michigan SBDC provides free consulting, technical assistance, business planning support, and educational resources. Michigan SBDC advisors do not structure SBA loan packages, do not maintain institutional lender relationships, do not negotiate loan terms, and do not manage the SBA process from submission through closing. For Michigan businesses that need general business education, the SBDC serves that purpose. For Michigan businesses that need an SBA loan executed at the highest level, LVRG is the answer.
Michigan Certified Development Corporation
The MCDC is a Certified Development Company - one of the entities that administers the SBA 504 program's CDC portion in Michigan. MCDC processes 504 loans. They are a program administrator, not a full-service financing advocate. They do not analyze deals across all three SBA programs, do not match businesses to the optimal program, and do not manage the process from initial consultation through funding. LVRG coordinates with Michigan CDCs including MCDC as part of every 504 transaction - but LVRG is the strategic partner managing the entire deal from beginning to end.
What LVRG Does That No Michigan Bank, Government Program, or Online Platform Does
LVRG analyzes every deal before any lender sees it. Builds institutional-grade loan packages. Selects the specific active lender from a network of 35 or more SBA institutions whose current appetite, industry expertise, and program capabilities make them the right fit for each transaction. Manages underwriting, conditions, appraisals, attorney coordination, SBA authorization, and closing. Identifies program-specific structures - interest-only periods, working capital layering, 100% financing on a 25-year term with no equity injection - that most lenders will not surface. And delivers pricing well below the SBA maximum through institutional relationships most Michigan businesses cannot access independently.
This is not a service that exists anywhere else in Michigan at this level.
SBA Loan Rates in Michigan - What Michigan Business Owners Need to Know
SBA 7(a) and Express rates are variable and negotiated between the borrower and lender, subject to SBA maximum allowable rates. The SBA maximum on loans above $350,000 is currently 9.75% at today's Prime Rate of 6.75%. On smaller loan amounts the SBA maximum is higher. The SBA does not set a minimum rate - which means the actual rate a Michigan business receives depends entirely on the lender relationship, deal structure, and how the loan is packaged and placed.
This is where lender selection matters more than most Michigan business owners realize. Most Michigan businesses applying to a single bank cold receive rates at or near the SBA maximum for their loan size. LVRG's 20-year institutional lender relationships and consistent deal volume deliver rates well below the SBA maximum for qualified borrowers - among the most competitive pricing available in the Michigan SBA market. On a $1,000,000 loan over 10 years, the difference between a rate at the SBA ceiling and a rate well below it represents tens of thousands of dollars in total interest paid.
Fixed rates are available on 7(a) loans under $350,000.
SBA 504 rates are structured entirely differently. The 504 CDC rate is fixed for the life of the loan and pegged to an increment above the current market rate for 10-year U.S. Treasury issues. It is not Prime-based. It does not adjust after closing. Based on current Treasury market conditions as of April 2026, effective 504 fixed rates are in the mid-to-upper 5% range - among the most competitive long-term fixed rates available in Michigan commercial real estate financing. The rate set at closing is the rate paid in year 1, year 10, and year 25.
Michigan SBA Loan Qualification - What Established Michigan Businesses Need to Know
How do I qualify for an SBA loan in Michigan?
To qualify for an SBA loan in Michigan, a business generally needs a minimum of 2 years in operation under current ownership, sufficient annual revenue of $250,000 or more for SBA Express and $500,000 or more for 7(a) and 504, a personal credit score of 650 or higher for all owners with 20% or more equity, positive business cash flow demonstrating a debt service coverage ratio of at least 1.25x, current status on all business and personal debt obligations and tax filings, and a down payment of 10 to 20% depending on the program and purpose - or through certain LVRG program structures, no down payment at all. LVRG evaluates every Michigan business against these parameters in the initial consultation and tells the owner exactly where they stand before any application is submitted.
Time in Business
Minimum 2 years under current ownership. Three or more years strongly preferred for larger loan amounts and most competitive terms. Five or more years of consistent operating history produces the most advantageous structures and pricing. Shorter histories can qualify in limited circumstances with exceptional financial performance, significant owner equity, or deep industry experience - but these are genuine exceptions, not the rule.
Annual Revenue and Profitability
Minimum $250,000 annually for SBA Express. $500,000 or more for SBA 7(a) and 504. Cash flow and profitability are the actual underwriting drivers - not top-line revenue. A Michigan business generating $800,000 in revenue with strong margins and clean financials qualifies more powerfully than one doing $3,000,000 in revenue with thin margins and complicated books. LVRG calculates actual qualifying cash flow before any lender sees the file.
Debt Service Coverage Ratio
The business must generate free cash flow sufficient to cover all existing debt obligations plus the new SBA loan payment at a minimum ratio of 1.25x. That means for every $1.00 of total monthly debt payment, the business must generate $1.25 in free cash flow. Deals at 1.35x to 1.50x receive the most competitive terms and fastest approvals. LVRG calculates this for every Michigan business before submission - so owners know exactly where they stand before the process begins, not after 45 days of underwriting ends in a decline.
Personal Credit
650 or higher FICO for all owners with 20% or more equity in the business. 680 or higher is preferred. 700 or higher is generally required for transactions above $2,000,000. Strong business cash flow and long operating history can compensate for scores in the 650 to 680 range with the right lender match. Recent bankruptcies within 7 years, active IRS or state tax liens, significant charge-offs, or major delinquencies create material qualification obstacles regardless of current score.
Down Payment
SBA Express: Minimal to none for equipment, varies by purpose. SBA 7(a): 10 to 20% depending on loan purpose and collateral. SBA 504: 10% for established businesses, 15% for businesses under 2 years or special-use properties. Through LVRG's 100% SBA 7(a) financing program - 0% down, no equity injection required for qualified commercial real estate purchases on a 25-year term.
Collateral and Personal Guarantees
SBA loans require collateral to the extent available. Financed assets serve as primary collateral. SBA Express typically does not require personal real estate collateral. SBA 7(a) may require it for larger loans when business collateral is insufficient. Personal guarantees are required from all owners with 20% or more equity across all programs. LVRG structures every deal to minimize personal asset exposure wherever the business financial profile allows.
SBA 504 Eligibility - Additional Requirements
To be eligible for a 504 loan a business must have a tangible net worth of less than $20,000,000 and average net income of less than $6,500,000 after federal income taxes for the two preceding years. The business must operate as a for-profit company and must occupy at least 51% of the property being financed. Investment real estate and properties leased primarily to others do not qualify for 504 financing.
Michigan Industries LVRG Finances Through SBA Programs
Manufacturing and Automotive Supply Chain
Tier 1, Tier 2, and Tier 3 automotive suppliers throughout Oakland County, Macomb County, Wayne County, and the I-75 Corridor. Metal fabricators and precision stamping operations in Sterling Heights, Warren, Utica, Shelby Township, Clinton Township, Troy, and across Metro Detroit. CNC machining operations throughout Southeast Michigan and Grand Rapids. Tool and die shops concentrated in Macomb County - the highest density of tool and die manufacturing in North America. Plastics manufacturers and injection molding operations. Contract assembly operations. Food and beverage processors. Industrial equipment manufacturers. Packaging companies. Custom job shops. SBA 7(a) and 504 loans finance equipment upgrades, facility acquisitions, competitor purchases, and working capital for production cycles. SBA Express handles time-sensitive equipment opportunities and production scaling.
Construction and Skilled Trades
General contractors throughout Metro Detroit, Grand Rapids, Lansing, Ann Arbor, Kalamazoo, and all Michigan markets. Electrical contractors. Plumbing and mechanical contractors. HVAC installation, service, and maintenance companies. Roofing and exterior contractors. Concrete and foundation specialists. Excavation and site development firms. Asphalt and paving companies. Specialty trade contractors. SBA financing covers equipment and fleet acquisitions, working capital for large project cycles, business acquisitions, and commercial facility purchases.
Professional Services
Law firms and legal practices throughout Metro Detroit, Grand Rapids, Lansing, and Ann Arbor. CPA and accounting practices. Engineering and architectural firms. Management consulting businesses. Marketing and advertising agencies. Insurance agencies and brokerages. Financial planning firms. SBA 7(a) covers partner buyouts, practice acquisitions, succession planning, office real estate purchases, and multi-purpose working capital structures.
Healthcare and Medical Practices
Primary care, specialty care, and urgent care practices throughout Oakland, Macomb, Washtenaw, and Kent Counties. Dental practices and oral surgery groups. Veterinary hospitals and specialty clinics. Physical therapy and rehabilitation centers. Chiropractic practices. Home healthcare agencies. Healthcare is among LVRG's most active SBA categories in Michigan - particularly for building ownership, practice acquisitions, equipment financing, and partner buyouts.
Automotive Services
Auto repair and service centers throughout Michigan. Tire and auto parts retailers. Collision repair and body shops. Independent and franchise dealerships. Fleet maintenance companies. Strong SBA candidates - particularly for building ownership through 504, equipment through Express, and competitor acquisitions through 7(a).
Retail, Convenience, and Consumer Services
Liquor stores and package stores throughout Wayne, Oakland, Macomb, Kent, Washtenaw, and all Michigan counties. Gas stations and fuel service operations. Convenience stores. Grocery stores, ethnic markets, and specialty food retailers. Car washes in tunnel, full-service, and express formats. Laundromats and dry cleaning operations. Salons and day spas. Fitness centers. Franchise retail concepts. These are among LVRG's most consistently active SBA transaction categories in Michigan. Liquor store owners, gas station operators, car wash owners, and grocery store operators throughout Michigan regularly use SBA 7(a) and 504 financing to purchase the commercial real estate their businesses operate in - converting perpetual lease payments into equity-building mortgage ownership and eliminating the risk of losing their location to a landlord's decision.
Hospitality and Food Service
Restaurants of all formats and price points throughout Michigan. Bars and craft breweries. Catering and event operations. Hotels and lodging facilities. Quick-service and fast-casual concepts. Coffee shops and cafes. Banquet and event facilities.
Transportation, Logistics, and Distribution
Trucking and freight hauling companies. Freight brokers and third-party logistics providers. Courier and delivery services. Warehousing and distribution operations. Moving companies. Wholesale and product distribution businesses.
Business and Commercial Services
Staffing and employment agencies. Commercial cleaning and janitorial services. Security companies. Commercial printing and graphics. Landscaping and outdoor services. Any established Michigan business generating consistent, recurring revenue from a commercial client base.
The LVRG SBA Loan Process - From First Conversation to Funded
Step One - Strategic Deal Analysis
The first conversation with LVRG is not an application. It is a deal analysis. We review the business - financials, cash flow, debt profile, loan purpose, timeline, and growth objectives. We identify which SBA program applies and what structures are available. We calculate debt service coverage internally. We tell the business owner exactly what is achievable and what the realistic path looks like - before any application is submitted, before any lender is contacted, before any documentation is assembled.
Step Two - Institutional-Grade Loan Package Construction
Documentation is gathered and the deal is built before any lender sees it. Normalized cash flow analysis. Debt service coverage calculation. Debt schedule review. Collateral valuation. Credit narrative. Business positioning. Executive loan presentation built to institutional underwriting standards. This is the work that determines whether a deal receives approval at optimal terms on first submission or cycles through 60 days of underwriting and returns with conditions that could have been addressed in week one. LVRG does this work comprehensively on every transaction.
Step Three - Strategic Lender Selection and Precision Submission
From a network of 35 or more active SBA lenders - Michigan community banks, national SBA institutions, and specialized commercial lenders - LVRG selects the specific institution whose current lending appetite, industry expertise, program capabilities, geographic preferences, and deal-type experience make them precisely right for each transaction. One submission. To the right lender. With the right packaging. This eliminates the pattern of submitting to the wrong institution, waiting 45 days for a decline, and starting over.
Step Four - Underwriting Management, Condition Resolution, and Closing
LVRG manages the underwriting process actively from submission through closing. Lender questions answered same day. Documentation delivered immediately. Appraisals coordinated. Environmental reports tracked. SBA authorization managed. Conditions resolved before they become delays. Attorneys, accountants, and third parties coordinated. Closing executed. The deal moves with the urgency a funded business outcome deserves.
Timeline:
SBA Express - 10 to 15 business days, application to funding
SBA 7(a) - 30 to 45 business days, application to funding
SBA 504 - 45 to 75 business days, application to funding
Our Banking Relationships
LVRG maintains active professional relationships with bankers at many of Michigan's most respected financial institutions - including Mercantile Bank of Michigan, Independent Bank, ChoiceOne Bank, Huntington Bank, DFCU Financial, United Bank 4U, Michigan First Credit Union, Credit Union One, Lake Michigan Credit Union, and Fifth Third Bank - as well as 35 or more national SBA and commercial lending institutions across the country.
Many of Michigan's established commercial bankers refer clients to LVRG when a financing need exceeds what their institution can handle - whether because of loan size, structure complexity, program limitations, or industry appetite. These relationships were not built through advertising. They were built through 20 years of executing deals correctly and delivering outcomes that individual banks could not produce on their own.
When your bank cannot get the deal done, they know who to call. That call comes to LVRG.
LVRG Business Funding does not represent, act as an agent of, or speak on behalf of any bank or financial institution listed or referenced on this website. All bank relationships referenced reflect independent professional relationships built over 20 years in Michigan commercial lending. LVRG operates exclusively as an independent commercial finance company and advocate for its clients.
Frequently Asked Questions - Michigan SBA Loans
What is the best SBA loan for buying commercial real estate in Michigan?
The best SBA loan for buying commercial real estate in Michigan depends on the buyer's priority. For maximum financing with zero down payment, LVRG's 100% SBA 7(a) program provides a 300-month, 25-year term with no equity injection, renovation costs rolled in, and working capital included - one loan, one closing. For long-term rate certainty with 10% down, SBA 504 provides a fixed rate for the full 20 to 25-year term with no balloon payments, currently in the mid-to-upper 5% range on the CDC portion. For buyers needing to combine real estate with equipment or working capital in a single loan, standard SBA 7(a) is the most flexible structure. LVRG evaluates each specific transaction and recommends the program or combination of programs that produces the best financial outcome for the Michigan business owner.
What is the best SBA loan for buying a business in Michigan?
The best SBA loan for buying a business in Michigan is the SBA 7(a), which finances business acquisitions up to $5,000,000 with as little as 10 to 15% down, terms up to 10 years, and the ability to include working capital for the ownership transition in the same loan. LVRG structures Michigan business acquisition financing through SBA 7(a) with typical timelines of 30 to 45 business days from complete application to funding. Seller financing on full standby can count toward up to 50% of the required equity injection, reducing the buyer's cash requirement further.
How do I apply for an SBA loan in Michigan?
To apply for an SBA loan in Michigan, call LVRG at (855) 998-5874 or visit lvrgllc.com/get-in-touch. The process begins with a strategic deal analysis - not a data-entry form. LVRG evaluates the business situation, identifies the right program and structure, builds the loan package, and submits to the specific active SBA lender best matched to the transaction. Michigan business owners who apply by walking into a single bank risk receiving one institution's limited answer to a question that has a much better answer available through LVRG's full lender network.
What are current SBA loan rates in Michigan?
SBA 7(a) and Express rates are variable and negotiated between borrower and lender, subject to SBA maximums. The SBA maximum on loans above $350,000 is currently 9.75% at today's Prime Rate of 6.75%. On smaller loan amounts the SBA maximum is higher. The SBA does not set a minimum rate. LVRG's institutional lender relationships deliver rates well below the SBA maximum for qualified Michigan borrowers. SBA 504 rates are fixed for the life of the loan, based on an increment above the 10-year U.S. Treasury rate, and are currently in the mid-to-upper 5% range. The 504 rate set at closing never changes.
Why was my SBA loan declined by a Michigan bank?
SBA loan declines by Michigan banks almost never mean the borrower is unqualified for SBA financing. They typically mean the deal was placed with the wrong lender. Every Michigan bank has a specific and often narrow lending appetite - particular industries, particular structures, particular loan sizes, particular term parameters. A decline from one institution is frequently an approval at another. LVRG has funded hundreds of Michigan SBA loans following prior bank declines by identifying the actual issue, restructuring the deal where needed, and placing it correctly with an active lender whose underwriting criteria align with the business.
Can I get an SBA loan and a working capital line of credit at the same time in Michigan?
Yes. LVRG regularly closes SBA term loans and working capital lines of credit simultaneously for Michigan businesses - providing long-term capital for a major investment and operational liquidity in a single coordinated closing. This combination is among the most powerful and least-offered SBA structures in Michigan. Most Michigan banks do not structure simultaneous closings of this type. It requires specific lender capabilities and packaging expertise that LVRG delivers as standard practice.
What credit score do I need for an SBA loan in Michigan?
A minimum personal credit score of 650 is generally required for all owners with 20% or more equity. A score of 680 or higher is preferred. A score of 700 or higher is typically required for transactions above $2,000,000. Strong business cash flow and operating history can compensate for scores in the 650 to 680 range with the right lender. Recent bankruptcies, active tax liens, or significant delinquencies create material obstacles regardless of current score.
How long does an SBA loan take to close in Michigan?
SBA Express loans close in 10 to 15 business days from complete application to funded. SBA 7(a) loans close in 30 to 45 business days. SBA 504 loans close in 45 to 75 business days. LVRG's average timelines are 30 to 50% faster than the typical experience at a single bank because professional deal packaging, strategic lender matching, and active underwriting management eliminate the delays that derail most SBA processes.
Is there an SBA loan with no money down for Michigan businesses?
Yes. Through a specific SBA 7(a) program structure available through LVRG's institutional banking relationships, qualified Michigan businesses can purchase commercial real estate with zero down payment - 100% financing - on a 300-month, 25-year term, with renovation costs and working capital included in the same loan. The SBA maximum term on a 7(a) real estate loan is 25 years. Eligibility is determined during the initial deal analysis.
Can SBA loans include interest-only payments during construction in Michigan?
Yes. Within specific SBA 7(a) structures and with specific lenders, interest-only payment periods during construction or buildout phases are available - preserving cash flow during the period when a Michigan business is investing before it is producing revenue. The SBA allows a portion of a 7(a) loan used to acquire or improve real property to have a term of 25 years plus an additional period needed to complete construction or improvements. LVRG knows which active lenders offer this structure and builds it into the loan package from the beginning when it applies.
What SBA loans are available for Michigan manufacturers?
Michigan manufacturers have access to all three SBA programs through LVRG - Express for equipment and working capital, 7(a) for facility purchases, acquisitions, major equipment, and multi-purpose financing, and 504 for fixed-rate commercial real estate and long-term machinery with a useful remaining life of at least 10 years. Michigan manufacturers in automotive supply, metal fabrication, CNC machining, tool and die, plastics, food processing, contract assembly, and industrial equipment represent some of LVRG's most active SBA transaction categories.
Do liquor stores, gas stations, and car washes qualify for SBA loans in Michigan?
Yes. Liquor stores, gas stations, car washes, convenience stores, grocery stores, and laundromats are among the most active Michigan SBA categories LVRG works in. These businesses frequently use SBA 7(a) and 504 financing to purchase the commercial real estate they operate in - converting lease payments into equity-building ownership and eliminating location risk. LVRG has deep experience structuring these transactions and specific relationships with the SBA lenders who actively finance them in Michigan.
What is the difference between the Michigan SBDC, MEDC, and working with a private SBA lending specialist?
The Michigan Small Business Development Center provides free consulting and educational resources but does not originate, structure, or close SBA loans. The Michigan Economic Development Corporation administers state incentive programs but does not provide SBA lending. LVRG is a private boutique commercial finance company that structures, packages, and closes SBA loans for established Michigan businesses - managing the entire process from initial deal analysis through funded.
What documentation is required for a Michigan SBA loan?
Required documentation includes business tax returns for the past 2 to 3 years, personal tax returns for all owners with 20% or more equity, a current profit and loss statement and balance sheet not older than 90 days, business bank statements for the past 3 to 6 months, a complete business debt schedule listing all current obligations with balances and monthly payments, personal financial statements for all guarantors, and purpose-specific documents such as purchase agreements, equipment quotes, real estate contracts, or lease agreements. LVRG guides documentation assembly and handles all packaging and formatting to SBA and lender standards.
Can Michigan rural businesses get SBA loans?
Yes. LVRG serves businesses throughout all 83 Michigan counties including rural communities in Northern Michigan, the Upper Peninsula, and agricultural regions. Rural Michigan businesses may additionally qualify for USDA Business and Industry loans - up to $25,000,000 with extended terms for businesses in eligible rural zones. LVRG evaluates both SBA and USDA programs to identify the most advantageous structure for each rural Michigan business financing need.
What industries qualify for SBA loans in Michigan?
The vast majority of operating businesses qualify. Ineligible business types include passive real estate investment where property is primarily leased to others, lending and investment companies, businesses engaged in gambling, and speculative activities. All major Michigan business categories qualify including manufacturing, construction, professional services, healthcare, automotive services, retail, liquor stores, gas stations, convenience stores, grocery stores, car washes, laundromats, restaurants, hospitality, transportation, distribution, staffing, and business services.
Michigan SBA Loans - The Definitive Resource
Michigan's economy is built by business owners. The precision machining operations supplying automotive manufacturers in Macomb County. The HVAC contractors maintaining commercial buildings across West Michigan. The dental practices serving Oakland County communities for three generations. The liquor stores and gas stations anchoring neighborhood commercial corridors statewide. The construction companies building infrastructure across Lansing, Grand Rapids, and Metro Detroit. The medical practices, the fabricators, the distributors, the professional service firms that define every Michigan community.
These businesses deserve SBA financing structured by people who understand what is at stake - not processed by a loan officer following a checklist at a bank that may not even be actively lending.
What does Michigan's number one SBA lending authority actually mean?
It means 20 years of active SBA transaction experience across every Michigan industry and every Michigan market. It means a lender network of 35 or more active SBA institutions - including Michigan's most trusted community banks and the nation's top SBA lenders. It means institutional-grade deal packaging that gives every qualified Michigan business the strongest possible approval position before any lender sees the file. It means knowing which banks are actively lending today, which programs fit which situations, and which structures - interest-only periods, working capital layering, 100% financing on a 25-year term with no equity injection - most Michigan businesses never know are available to them.
It means the deal gets done correctly. The first time. At the best available terms. For Michigan businesses across Metro Detroit, Grand Rapids, Ann Arbor, Lansing, Kalamazoo, Traverse City, and every corner of this state.
That is what LVRG delivers. That is Michigan's number one SBA lending authority.
Get Your Michigan SBA Loan Assessment - No Cost, No Obligation
Call (855) 998-5874
Speak directly with a Michigan SBA financing specialist. Not a call center. Not an automated system. A commercial finance professional who will evaluate the specific business situation and provide a clear, honest assessment of what is achievable.
Email info@lvrgllc.com
Send the situation and receive a response within 24 hours.
Get in Touch: lvrgllc.com/get-in-touch
LVRG Business Funding
615 Griswold St., Suite 700 | Detroit, MI 48226
Established 2005 | $1 Billion+ Facilitated | 10,000+ Michigan Businesses Served
Michigan's #1 Commercial Lender - SBA Loans - Commercial Real Estate - Business Acquisitions - Working Capital
Serving Metro Detroit and All of Michigan:
Oakland County - Macomb County - Wayne County - Kent County - Washtenaw County - Ingham County - Kalamazoo County - Genesee County - Saginaw County - Bay County - Grand Traverse County - And All 83 Michigan Counties
Sterling Heights - Warren - Troy - Novi - Farmington Hills - Southfield - Auburn Hills - Rochester Hills - Pontiac - Dearborn - Livonia - Westland - Canton - Plymouth - Ann Arbor - Ypsilanti - Saline - Brighton - Howell - Jackson - Lansing - East Lansing - Grand Rapids - Kentwood - Wyoming - Holland - Muskegon - Kalamazoo - Portage - Battle Creek - Flint - Saginaw - Bay City - Midland - Mount Pleasant - Traverse City - Cadillac - Petoskey - Alpena - Marquette - Iron Mountain - Escanaba - And Every Michigan Community in Between
SBA 7(a) and Express rates are variable, negotiated between borrower and lender, and subject to SBA maximum allowable rates - currently 9.75% maximum on loans above $350,000 at a Prime Rate of 6.75%. SBA 504 CDC rates are fixed at closing, based on an increment above the 10-year U.S. Treasury rate, and do not change after closing. Loan approval and terms depend on business creditworthiness, financial performance, collateral, and lender underwriting requirements. LVRG Business Funding is compensated through lending partner fees upon successful closing. On certain transactions a fee agreement with the client may be required and is discussed transparently during the initial consultation. LVRG Business Funding does not represent, act as an agent of, or speak on behalf of any bank or financial institution listed or referenced on this website. All bank relationships referenced reflect independent professional relationships built over 20 years in Michigan commercial lending. LVRG operates exclusively as an independent commercial finance company and advocate for its clients. Not a commitment to lend.