Bakersfield is a city located in the San Joaquin Valley in Kern County, California. As of 2019, the city had a population of 380,874, making it the 53rd-most populous city in California. The city is a hub for the oil and agriculture industries, and has been nicknamed the "Oil Capital of the World" and the "Breadbasket of the World." The economy of Bakersfield is largely based on these two industries, as well as healthcare, education, and manufacturing.
The oil industry is a major part of the economy in Bakersfield. In fact, the city is home to the first oil well in California, which was drilled in 1899. The oil industry has long been the primary driver of the city's economy, and it continues to be a major player today. The agriculture industry is also a major contributor to the economy of Bakersfield. The city is located in the heart of the San Joaquin Valley, which is one of the most productive agricultural regions in the world. The valley produces a wide variety of crops, including grapes, almonds, pistachios, and cotton. Healthcare, education, and manufacturing are also important sectors of the economy in Bakersfield.
Comparing SBA loan types in Bakersfield
Three SBA programs come up most often for Bakersfield, California businesses, and they do different jobs.
SBA 7(a) loan: program overview
Maximum loan
$5 million (sba.gov, fetched 2026-07-24)
What it funds
Working capital, equipment, owner-occupied commercial real estate, refinancing business debt, and business acquisition.
Who lends
Participating banks and non-bank lenders. The SBA guarantees a portion of the loan; it does not lend directly to borrowers.
Rate structure
Negotiated between lender and borrower, capped at the SBA maximum. Most 7(a) loans price off the WSJ prime rate plus a spread.
Personal guaranty
Required from every owner of 20% or more of the business (13 CFR 120.160(a)).
Program facts confirmed against sba.gov/funding-programs/loans/7a-loans on Jul 24, 2026. Confirm current fees and maximum rates with your lender before relying on them.
SBA 504 loan: program overview
Maximum loan
$5.5 million per the SBA-backed debenture (sba.gov, fetched 2026-07-24). Total project size can be larger because a bank funds the first mortgage alongside it.
What it funds
Major fixed assets: owner-occupied commercial real estate and long-life machinery and equipment. Not working capital or inventory.
Structure
A conventional first-mortgage lender, a Certified Development Company holding the SBA-backed second, and a borrower down payment.
Rate
The CDC portion is fixed for the full term and set at the monthly debenture sale.
Program facts confirmed against sba.gov/funding-programs/loans/504-loans on Jul 24, 2026.
SBA Express: program overview
What it is
A delivery method inside the 7(a) program. The lender uses its own forms and procedures and gets an accelerated SBA response, in exchange for a lower SBA guarantee percentage than Standard 7(a).
What it funds
The same uses as 7(a), including revolving lines of credit, which Standard 7(a) term loans do not offer.
Trade-off
Faster turnaround and lighter paperwork, against a smaller guaranteed portion, which some lenders price for.
Current SBA Express maximum loan size and guarantee percentage are set by SBA notice and change. Confirm them on sba.gov or with your lender; this site does not publish an unverified figure.
Small business loans available in Bakersfield
An SBA 7(a) loan made to a Bakersfield, California business is made by a participating lender, not by the SBA.
The lender underwrites it, sets the rate within the SBA maximum, and services it. What varies locally is
which lenders are active, not the program rules.