Business Loan Calculator

Calculate business loan payments, total interest, and loan terms. Compare different business financing options including SBA loans, term loans, and lines of credit.

Business Loan Details

Fixed payments over set period

Loan Summary

Enter loan details to calculate payments

Business Loan Types

Common Business Loans

Term Loans
Fixed payments over 1-10 years, good for equipment or expansion
SBA Loans
Government-backed loans with favorable terms for small businesses
Lines of Credit
Revolving credit for working capital and cash flow management
Equipment Loans
Secured loans specifically for business equipment purchases

Loan Considerations

  • • Compare rates from multiple lenders
  • • Consider total cost, not just monthly payment
  • • Factor in origination fees and closing costs
  • • Understand prepayment penalties
  • • Check if personal guarantees are required
  • • Consider your business credit score
  • • Plan for seasonal cash flow variations

How to Use This Calculator

Step-by-Step Guide

  1. 1. Enter the loan amount you need
  2. 2. Input the annual interest rate
  3. 3. Set the loan term in years
  4. 4. Choose the appropriate loan type
  5. 5. Select payment frequency
  6. 6. Click "Calculate Business Loan" to see results

Understanding Results

  • • Payment: Your regular payment amount
  • • Total Amount: Total you'll pay over the loan term
  • • Total Interest: Total interest paid
  • • Effective Rate: True cost of borrowing
  • • Schedule: Breakdown of each payment

Frequently Asked Questions

What's the difference between a business loan and personal loan?

Business loans are specifically for business purposes, often have higher limits, may require business documentation, and can offer tax benefits. Personal loans are for individual use and typically have lower limits.

What factors affect business loan rates?

Business loan rates depend on your credit score, business financials, loan amount, term length, industry risk, and whether the loan is secured or unsecured.

Should I choose a fixed or variable rate?

Fixed rates provide predictable payments but may be higher initially. Variable rates can be lower but payments can change with market conditions. Choose based on your risk tolerance and cash flow stability.

How can I improve my business loan approval chances?

Maintain good business credit, prepare detailed financial statements, have a solid business plan, show consistent revenue, and consider offering collateral or personal guarantees.