Business Loan Calculator
Calculate monthly payments, total interest, and the true cost of borrowing.
Enter Loan Details
$
%
SBA: 6-13% | Bank: 6-12% | Online: 10-50%
Years
Months
Monthly Payment
$0
Total Interest
$0
Total Repayment
$0
Loan Summary
Principal (loan amount)
$0
Interest rate
0%
Loan term
0 months
Number of payments
0
Monthly payment
$0
+ Total interest paid
$0
= Total amount repaid
$0
True Cost of This Loan
Borrowing $0 will actually cost you $0 over the life of the loan. That's 0% more than the principal.
Can You Afford This Payment?
Monthly payment should typically be <15-20% of monthly revenue.
$
Typical Business Loan Options
| Loan Type | Amount | Rate | Term |
|---|---|---|---|
| SBA 7(a) Loan | Up to $5M | 6-13% | 10-25 yrs |
| Bank Term Loan | $50K-$1M+ | 6-12% | 1-10 yrs |
| Online Lender | $5K-$500K | 10-50%+ | 3 mo-5 yrs |
| Equipment Financing | Equipment cost | 5-15% | 2-7 yrs |
| Business Line of Credit | $10K-$250K | 8-24% | Revolving |
| Microloan | $500-$50K | 8-13% | Up to 6 yrs |
Loan Payment Formula
M = P × [r(1+r)^n] / [(1+r)^n − 1]
Where M = monthly payment, P = principal, r = monthly interest rate, n = number of payments.
Frequently Asked Questions
What is a typical business loan interest rate?
Rates vary widely. SBA loans: 6-13%. Traditional bank loans: 6-12%. Online lenders: 10-50%+. Equipment financing: 5-15%. Your rate depends on credit score, time in business, revenue, and collateral.
How much can I borrow for a small business?
Depends on lender and your qualifications. SBA 7(a): Up to $5 million. Traditional banks: $50,000-$1M+. Online lenders: $5,000-$500,000. Microloans: $500-$50,000. Lenders consider revenue, credit, and business history.
What's the difference between APR and interest rate?
Interest rate is just the cost of borrowing. APR (Annual Percentage Rate) includes interest PLUS fees, giving you the true cost. Always compare APRs, not just interest rates.
Should I choose a shorter or longer loan term?
Shorter terms: Higher monthly payments but less total interest. Longer terms: Lower monthly payments but more total interest. Choose based on cash flow needs and total cost tolerance.
What are typical SBA loan terms?
SBA 7(a) loans: Up to 10 years for working capital, 10 years for equipment, 25 years for real estate. Rates: Prime + 2.25-4.75%. Requires 10-20% down payment and good credit (680+).
Can I pay off a business loan early?
Usually yes, but check for prepayment penalties. SBA loans have prepayment penalties if paid off in first 3 years (on terms 15+ years). Many online lenders have no penalty. Always ask before signing.