Business Loan Calculator
Calculate monthly payments, total interest, and compare business loan options. Includes SBA loans, term loans, and equipment financing.
Formula:PMT = P × r(1+r)^n / ((1+r)^n - 1)
Loan Summary
Monthly Payment
$2,076
5 year term
Total Interest
$24,550
Loan Amount$100,000
Total Payment$126,550
Effective APR9.87%
Fees$2,000
Loan Details
Loan type and amount
Term Loan
Traditional fixed-term business loan
Typical rate: 6-30% • Term: 1-10 years
$
Loan Terms
Interest rate, term length, and fees
%
325
years
%
Cost Breakdown
Principal, interest, and fees allocation
Principal
$100,000
Interest
$24,550
Fees
$2,000
Balance Over Time
Rate Comparison
| Rate | Monthly | Total Interest | Total Cost |
|---|---|---|---|
| 6% | $1,933 | $15,997 | $117,997 |
| 8% | $2,028 | $21,658 | $123,658 |
| 10% | $2,125 | $27,482 | $129,482 |
| 12% | $2,224 | $33,467 | $135,467 |
| 15% | $2,379 | $42,740 | $144,740 |
First 12 Months
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $2,076 | $1,326 | $750 | $98,674 |
| 2 | $2,076 | $1,336 | $740 | $97,338 |
| 3 | $2,076 | $1,346 | $730 | $95,993 |
| 4 | $2,076 | $1,356 | $720 | $94,637 |
| 5 | $2,076 | $1,366 | $710 | $93,271 |
| 6 | $2,076 | $1,376 | $700 | $91,894 |
| 7 | $2,076 | $1,387 | $689 | $90,508 |
| 8 | $2,076 | $1,397 | $679 | $89,111 |
| 9 | $2,076 | $1,408 | $668 | $87,703 |
| 10 | $2,076 | $1,418 | $658 | $86,285 |
| 11 | $2,076 | $1,429 | $647 | $84,856 |
| 12 | $2,076 | $1,439 | $636 | $83,417 |
What if you extended the loan term?
See how longer terms affect your monthly payment and total interest
1 years5 years15 years
Monthly Payment
$2,076+$0/mo
Personalized Insights
1 insight based on your inputs
Cash Flow Check
Your monthly payment of $2,076 should ideally be less than 20% of monthly revenue. This means you'd need roughly $10,379/month in revenue to comfortably service this debt.
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Loan Summary
Monthly Payment
$2,076
5 year term
Total Interest
$24,550
Loan Amount$100,000
Total Payment$126,550
Effective APR9.87%
Fees$2,000
Frequently Asked Questions
Term loans (lump sum with fixed payments), SBA loans (government-backed, lower rates), equipment financing (secured by equipment), lines of credit (revolving), invoice factoring, and merchant cash advances. Each has different rates, terms, and qualification requirements.
Requirements vary by lender: SBA loans typically need 680+, traditional bank loans 700+, online lenders 550-600+. Higher scores get better rates. Lenders also consider business revenue, time in business, and cash flow.
Most use standard amortization: Payment = P × [r(1+r)^n] / [(1+r)^n-1], where P=principal, r=monthly rate, n=term months. SBA loans may have variable rates tied to prime. Lines of credit often have interest-only periods.
Common fees include: origination (0.5-5% of loan), closing costs, appraisal fees, legal fees, and prepayment penalties. SBA loans have guarantee fees (0-3.75%). Always ask for the total cost and APR, not just the interest rate.
SBA loans have lower rates and longer terms but take 30-90 days to close and have strict requirements. Traditional loans close faster but may have higher rates. Consider SBA for larger amounts and longer terms, traditional for speed.
How this works
Calculations are run entirely in your browser. No inputs are sent to our servers and no account is required. Formulas follow standard US definitions from the IRS and the CFPB where applicable; international users should confirm local tax and regulatory rules apply.
What this tool can’t do
When to consult a professional
This is a software engineering tool, not financial advice. Run the math here, then take the result to a certified financial planner, CPA, or your bank before making a decision that materially affects your money.
Sources
- [1]Consumer Financial Protection Bureau (CFPB)Official sourceconsumerfinance.govAccessed Apr 21, 2026
US consumer finance regulator; authoritative on mortgage disclosures, APR rules, credit cards.
Joseph OrdunaFounder & Software Engineer
Full-stack software engineer specializing in embedded systems, web architecture, and AI/ML. Founder of Practical Web Tools. Built the gesture-controlled drone IP acquired by KD Interactive (Aura Drone, sold on Amazon).
Loan Summary
Monthly Payment
$2,076
5 year term
Total Interest
$24,550
Loan Amount$100,000
Total Payment$126,550
Effective APR9.87%
Fees$2,000