Borrower guide · Use case
SBA loan for a medical or dental practice
Doctors and dentists are among the borrowers SBA lenders most want: stable, high-income, and low-default. That makes financing a practice one of the more straightforward SBA deals — if the numbers are clean.
Why lenders like practices
Healthcare practices combine durable demand, high revenue per owner, and low default — so many lenders have dedicated healthcare teams and compete on terms. A licensed provider buying or building a practice is a strong file by default.
Startup, acquisition, or buildout
A 7(a) can fund a de novo practice (equipment, buildout, working capital), an acquisition of an existing practice with real collections to underwrite (the cleanest deal — see buying a business), or a partner buyout. Buying the building too usually points to 504 or 7(a) real estate.
What underwriting wants
Licensure and clinical experience, a sober projection or the target practice’s collections, and a coverage cushion after your debt and salary. Student debt is normal in this field and rarely a barrier on its own.
Affordability calculator
Enter practice collections and price to see whether it services the debt.
Check the coverage →Medical & dental in the record
our dataSee loan sizes, active lenders and default performance for this line of work on our healthcare practice industry page. Healthcare practices default well under the 5.7% all-7(a) rate. Size your own deal below.
Common questions
Can you get an SBA loan for a dental or medical practice?
Yes, and on strong terms — practices default well below average, so lenders compete for them. A 7(a) funds startups, acquisitions, equipment and buildouts.
Does student debt stop a practice loan?
Rarely on its own. It is normal in healthcare; underwriters focus on the practice’s cash flow and your licensure and experience.
Should I use 7(a) or 504 for a practice?
7(a) for the practice, equipment and working capital; 504 (or 7(a) real estate) if you are also buying the building.
Keep going
Rules described here follow SBA SOP 50 10 8 (effective June 1, 2025) and can change; lenders add their own overlays. This is education, not advice — confirm specifics with your lender. Figures cited as “our data” come from the SBA 7(a) & 504 FOIA record, released 2026-06-30.