Small business rates and funding news: week of Nov 9, 2026
Prime holds at 7.00% as of November 5, Fed officials signaled more rate hikes could be ahead, and the SBA launched a new 7(a) lending platform. Here is this week's update.
Where rates stand
Prime rate. The U.S. bank prime loan rate was 7.00% on each business day from October 30 through November 5, 2026, according to the Federal Reserve's H.15 Selected Interest Rates release dated November 6. The Federal Reserve's daily series on FRED (DPRIME) shows the same 7.00% reading through October 27, the latest observation posted when this was written. Prime has held at 7.00% since the Fed's September rate increase. Many variable-rate business loans and lines of credit are priced off prime, so it remains the number to watch when you compare quotes.
Fed news. The federal funds target range is 3-3/4 to 4 percent after the Fed held rates at its October 28 meeting, and the federal funds effective rate was 3.88% each day from October 30 through November 5 in the same H.15 release. This week, several Fed officials said more tightening is likely:
- San Francisco Fed President Mary Daly told CNBC on November 6 that she expects the Fed will have to tighten policy further, though timing and size are still to be decided.
- Richmond Fed President Thomas Barkin said on November 5 that a gradual pace of rate hikes makes sense, calling inflation the most important risk right now.
- New York Fed President John Williams said on November 6 that inflation is too high and must return to 2%, without signaling the next policy move.
- Employers added 165,000 jobs last month and unemployment ticked down to 4.1%, which put a December rate hike back in focus, according to Reuters. The next Fed meeting is December 8-9.
A Fed rate increase would typically move prime up by the same amount, so owners with variable-rate products may want to plan for that possibility.
Small business funding headlines
- SBA launches iCAP for 7(a) loan origination. On November 5, SBA announced its Intelligent Capital Access Platform, which replaces older systems including ETRAN and CAFS. Following a pilot with more than 250 lenders, all lenders will have access to iCAP origination by January 1, 2027, and migration off the ETRAN origination interface is required by June 2027. Source: SBA via Public, November 5, 2026.
- Small business sales rose 2.3% in October. The Fiserv Small Business Index came in at 146, with sales up 2.3% from a year earlier, the strongest annual gain since July 2025. Average spending per transaction rose 3.5%, while foot traffic fell 1.2%. Source: Fiserv via GlobeNewswire, November 3, 2026.
- IRS publishes 2027 tax adjustments. The IRS released inflation adjustments for tax year 2027, including a Section 179 expensing limit of $2,640,000, up from $2,560,000 for 2026. Source: IRS news release IR-2026-133, November 5, 2026.
- New SBA acquisition loan requirements explained. Under SBA's SOP 50 10 8.1, effective October 1, 2026, certain 7(a) acquisition and expansion loans with a purchase price of $3 million or more require an independent quality-of-earnings report, and valuation requirements expanded for change-of-ownership deals. Source: IR Global, November 9, 2026.
What this means for business owners
- Prime has held at 7.00%, so variable-rate quotes tied to prime should look much like they did last week.
- Fed officials are talking about further increases. If you are choosing between fixed and variable pricing, factor in that rates could rise.
- If you are planning an SBA loan around year end, ask your lender whether it is already using iCAP and whether the changeover could affect your timeline.
- Compare total cost and repayment terms, not just the headline rate.
How Pro Capital can help
Pro Capital — Funding Made Simple — places business owners with the right lender for their capital needs. Term loans and lines of credit start at Prime + 1 and require a 680+ FICO score; lines of credit also need $8,000+ monthly revenue; and all of our funding products are unsecured. You can see today's prime rate on our rates page. To talk through your options, call (561) 444-7177 or apply online at www.getprocapital.com/apply, with no credit impact.
This article is informational and not a commitment to lend. Figures come from the linked sources and may change. Rates and terms depend on the lender and your business profile.