Who’s Getting Funded in 2025? A Deep Dive into SBA 7(a) Borrower Profiles

As we reach the midpoint of FY2025, SBA 7(a) lending data is shedding light on who’s securing capital and how borrower trends are evolving. Backed by real-time intelligence from LenderAI Insights and the SBA, we’re breaking down approvals by gender, race/ethnicity, and veteran status to uncover emerging opportunities and momentum across borrower groups.

Behind the numbers, one thing is clear: access to capital is expanding in meaningful ways. And while some gaps remain, the trajectory across several segments points to promising progress.

Women-Owned Businesses: Participation Is Up and So Are Loan Sizes

Women entrepreneurs continue to play a growing role in SBA lending. As of end of April 2025, women-owned businesses account for 28.2% of approvals and 24.5% of approved dollars in FY2025. Notably, loan volumes for women are increasing alongside participation. This suggests that more women are not only applying for SBA loans but also securing larger amounts, a sign of growing confidence and businesses scaling activity.

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Race & Ethnicity: Notable Shifts in Borrower Demographics

Borrower diversity is strengthening. Asian entrepreneurs represent 10.6% of borrowers but account for 16.3% of total loan dollars in FY2025, indicating larger average loan sizes in this group. Black-owned businesses have already secured over $1 billion this fiscal year, representing 62% of last year’s total volume. If this pace continues, FY2025 is on track to be a standout year for SBA lending to Black-owned businesses.

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Veteran Borrowers: Holding Steady, Room to Grow  

Veterans have been approved for $887 million in 7(a) loans so far this fiscal year, for roughly 3.7% of all loan approvals. These numbers have remained relatively stable year over year, pointing to a consistent but modest share of SBA lending. There's opportunity here to deepen outreach and support for veteran-owned businesses seeking capital to grow.

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Key Takeaways for SBA Lenders

• Women entrepreneurs continue to increase their share of both approvals and dollar volume, signaling stronger participation and scaling efforts.

• Hispanic and Asian borrowers are securing larger loans relative to their share of total approvals, indicating expanding operations and capital needs.

• Black borrowers are making headway, with loan volumes tracking toward meaningful year-over-year gains.

• Veterans remain a steady, if small, portion of the borrower base, suggesting that further engagement could unlock new opportunities.

Final Thoughts

SBA 7(a) borrower profiles in FY2025 are evolving. Behind every approval is a business story, and understanding who these borrowers are helps lenders stay ahead of the curve. Whether it’s rising participation among women entrepreneurs or larger loan sizes for minority-owned businesses, the data shows that access to capital is expanding in meaningful ways.

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