Two nanocrystalline ferromagnetic alloys of the Fe-Co-Nb-B system have been produced by mechanical alloying (MA). Their microstructure, thermal behavior and magnetic response were checked by X-ray diffraction (XRD), differential scanning calorimetry (DSC) and vibrating sample magnetometry (VSM). After 80 h of MA, the alloys were nanostructured (bcc-Fe(Co)-rich phase). As the Co content increases, the density of the dislocations decreases. Besides, a higher concentration of Co causes an increase in the activation energy of the crystallization process. The calculated energies, 267 and 332 kJ/mol, are associated to the crystalline growth of the bcc-Fe-rich phase. The Co content of the samples has no effect on the value of the saturation magnetization, whereas the coercivity is lower in the alloy containing less Co. Samples were compacted and heat-treated. Optimal annealing reduces the coercivity by a factor of two. Results were compared with the data of Fe-Nb-B and Fe-Ni-Nb-B alloys.