Top Mississippi SBA Lenders | MS SBA Loans

Last update: Jun 22, 2024

Find me a lender

Best SBA lenders in Mississippi

RankSBA LenderSBA Lender HQs# of LoansAvg Interest Avg Loan
1Peoples BankMENDENHALL, MS4910.6% $226,418
2BankFirst Financial ServicesCOLUMBUS, MS2310.4% $366,591
3Community Bank of MississippiFlowood, MS219.0% $263,467
4BankPlusBELZONI, MS137.3% $888,615
5BayFirst National BankSaint Petersburg, FL1212.7% $142,058
6Covington County BankCOLLINS, MS129.3% $125,158
7United Midwest Savings BankDE GRAFF, OH1011.2% $232,200
8Noah BankMiami, FL912.2% $254,667
9Newtek BankMiami, FL912.2% $254,667
10Wells FargoSIOUX FALLS, SD911.4% $150,556
11Trustmark National BankJACKSON, MS88.3% $99,775
12Hancock Whitney BankGULFPORT, MS710.9% $680,286
13Merchants & Marine BankPASCAGOULA, MS611.0% $209,183
14Live OakWILMINGTON, NC68.9% $1,394,183
15First Financial BankEl Dorado, AR58.8% $425,200
16Byline BankCHICAGO, IL510.9% $1,610,600
17BancorpSouth BankTUPELO, MS511.2% $492,420
18Northeast BankLEWISTON, ME311.1% $77,167
19Readycap Lending, LLCBERKELEY HEIGHTS, NJ315.0% $29,667

Interest rates for SBA loans in Mississippi

The table below shows the average interest rates for SBA loans in Mississippi during the past few quarters for loans over $50,000. Note that most SBA loans are variable-rate loans, so borrowers may benefit from lower rates in the future if the Federal Reserve lowers interest rates.

YearQtr# of Loans Avg LoanAvg Rate
2024161 $502,16410.5%
2023446 $479,99110.2%
2023382 $727,04010.1%
2023252 $543,4629.6%
2023151 $781,8879.1%
2022454 $880,7057.9%
2022349 $791,7186.8%
2022251 $526,8195.6%
2022140 $642,9715.5%
2021446 $459,0635.3%
20213111 $817,4264.9%
2021244 $647,1705.0%
2021139 $592,9905.2%

Find me an SBA lender

Top industries receiving SBA loans in Mississippi

Here are the top 20 industries in Mississippi based on small business loan volume from last year. This information can help you gauge what to expect for your business in terms of interest rates from SBA lenders:

RankIndustry (NAICS Description)# of LoansAvg Interest Avg Loan
1Broilers and Other Meat Type168.1% $979,106
2Full-Service Restaurants1310.5% $540,792
3General Freight Trucking, Local1311.0% $133,323
4General Freight Trucking, Long Distance, Truckload811.3% $127,850
5Insurance Agencies and Brokerages811.5% $348,500
6Limited-Service Restaurants89.9% $880,413
7Chicken Egg Production77.4% $605,486
8Landscaping Services710.9% $104,171
9Logging79.9% $176,900
10Other Poultry Production78.3% $268,771
11Hotels (except Casino Hotels) and Motels69.5% $2,622,783
12Child Day Care Services59.9% $452,900
13Site Preparation Contractors510.7% $80,520
14Fitness and Recreational Sports Centers410.6% $454,225
15Offices of Physical, Occupational and Speech Therapists, and Audiologi410.1% $211,200
16Offices of Physicians (except Mental Health Specialists)410.0% $148,600
17Pet Care (except Veterinary) Services411.4% $112,750
18Beauty Salons313.2% $28,000
19Soil Preparation, Planting, and Cultivating39.6% $994,667

Mississippi SBA lenders FAQs

 

Who are the top SBA lenders in Mississippi?

The best SBA lenders in Mississippi are those closing the highest number of SBA loans in the state. You can find them listed in the table above. This data is updated quarterly and reflects the rolling 12-month period.

 

How do I qualify for an SBA loan in Mississippi?

To qualify for an SBA loan in Mississippi, your business (or the one you’re acquiring) must meet size standards, demonstrate the ability to repay, and have a sound business purpose. Contact an SBA-preferred lender in Mississippi or use our SBA Lender Match tool to check your eligibility. Common reasons for disqualification include:

1. Insufficient Cash Flow: Ensure you have enough cash flow to cover SBA loan payments. Use our SBA Maximum Loan calculator to determine your maximum loan amount.

2. Low Credit Score: A credit score of 650 or above is generally required.

3. High Working Capital Needs: Loans over $150,000 primarily for working capital face stricter scrutiny.

4. Business Acquisitions: Lack of industry or relevant experience and insufficient down payment (typically 10% or more) can be disqualifying factors.

Complete our SBA Lender Match tool, and we’ll provide a preliminary assessment of your SBA loan eligibility. We can then connect you with lenders who specialize in Mississippi SBA loans.

 

What is the SBA 7(a) loan program?

The SBA 7(a) loan program is the most popular SBA loan, offering up to $5 million for various business purposes, including working capital, equipment, and real estate. This program is available to businesses throughout Mississippi and offers flexible terms. Unlike SBA 504 loans, which require a Certified Development Company (CDC) and full collateralization by real estate, 7(a) loans are quicker and more versatile. At SBAlenders.com, we specialize in assisting with SBA 7(a) loans and can also help with 504 loans if needed.

 

What is the SBA 504 loan program?

The SBA 504 loan program offers long-term, fixed-rate financing for major assets like real estate and equipment, providing up to $5.5 million. Designed to promote business growth and job creation in Mississippi, this program requires both a Certified Development Company (CDC) and an SBA lender to finance portions of the loan. While SBA 504 loans offer significant benefits, they typically take longer to close and require full collateralization, resulting in lower activity compared to SBA 7(a) loans. At SBAlenders.com, we can assist you with securing an SBA 504 loan to support your Mississippi business.

 

Which SBA loan is easiest to get approved for?

SBA loans of $150,000 or less from an SBA preferred lender are the easiest to get approved for. The application process is streamlined, with most lenders focusing primarily on the individual borrower’s credit score rather than the business itself.

 

What types of businesses are eligible for SBA loans in Mississippi?

Most small businesses in Mississippi are eligible for SBA loans, including those in manufacturing, retail, service, and agriculture. Certain restrictions apply, so it’s best to consult with your Mississippi SBA lender or SBAlenders.com to confirm your eligibility.

Common Ineligible SBA Loan Inquiries we see at SBAlenders.com include:

  1. Passive Income Businesses: Businesses generating passive income, like rental real estate or apartment purchases, are ineligible for SBA loans, which are designed for active businesses. Hotels are eligible but AirBNBs are not.
  2. Leasing or Finance Companies: Businesses mainly involved in leasing or financing are not eligible for SBA loans due to their operational nature.
  3. Venture Capital or Private Investor Consortiums: Entities formed solely to invest in other businesses do not qualify for SBA loans. This includes general partners of special purpose vehicles seeking to leverage equity for investments.

 

How do I find an SBA-approved lender in Mississippi?

Through our SBA Lender Match tool, we can introduce you to three (or more) SBA lenders who serve the Mississippi market. All of the SBA lenders in our network are SBA preferred lenders, and the individual bankers work exclusively on SBA loans.

 

Can I use an SBA loan to buy a franchise in Mississippi?

Yes, SBA loans can be used to purchase a franchise in Mississippi or create a startup. In fact, SBA lenders prefer franchises over startups as generally the franchise has already demonstrated success in the marketplace. Your SBA lender can help you navigate the process and secure financing for your franchise purchase.

 

How can an SBA loan help my small business in Mississippi?

SBA loans offer several advantages over conventional loans, making them especially attractive for acquisitions. They have no collateral requirements, no debt covenants, and offer longer repayment terms—10 or 25 years—which result in lower monthly payments. Although SBA loans generally have slightly higher interest rates, these benefits can help your Mississippi small business manage cash flow, invest in growth opportunities, and reduce financial strain.

 

Can I refinance existing debt with an SBA loan in Mississippi?

Yes, SBA loans can be used to refinance existing business debt under certain conditions, but in general one SBA loan can’t be used to pay off an existing SBA loan. This can help reduce your interest rate and improve cash flow as SBA loans have ten-year terms or 25 years if real estate. Talk to your SBA lender in Mississippi to explore refinancing options.

 

How do SBA loan guarantees work?

SBA loan guarantees reduce the risk for lenders by backing a portion of the loan amount. This makes it easier for lenders to finance small businesses in Mississippi that might not qualify for conventional loans. However, this guarantee doesn’t prevent the lender from pursuing the borrower in the event of a loan default. The lender is required to do so and will require all 20%+ owners of the business to personally guarantee the SBA loan.

 

What support services are available for small businesses in Mississippi?

Mississippi offers numerous support services for small businesses, including Small Business Development Centers (SBDCs), SCORE chapters, and local chambers of commerce. These organizations provide free or low-cost business counseling, training, and resources to help your business succeed.

 

Other FAQs about the best SBA lenders in Mississippi

People frequently ask us if one of the banks above is 1) on the Mississippi preferred lender list 2) an approved lender in Mississippi, or 3) participating in the Mississippi SBA Express lending program. All these questions revolve around whether a given SBA bank makes small business SBA loans in Mississippi and can they process SBA loans quickly. The answer is yes, of course. These are not the small banks that only make a few SBA loans a year and do not understand the SBA 7(a) loan program.