Business Loan Calculator

Calculate monthly payments, total interest, and compare business loan options. Includes SBA loans, term loans, and equipment financing.

Loan Summary

Monthly Payment

$2,076

5 year term

Total Interest

$24,550

Loan Amount$100,000
Total Payment$126,550
Effective APR5.31%
Fees$2,000

Loan Details

Term Loan

Traditional fixed-term business loan

Typical rate: 6-30% • Term: 1-10 years

$
10,0001,000,000

Loan Terms

%
325
115
%

Cost Breakdown

Principal

$100,000

Interest

$24,550

Fees

$2,000

Balance Over Time

Rate Comparison

RateMonthlyTotal InterestTotal 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

MonthPaymentPrincipalInterestBalance
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

Loan Summary

Monthly Payment

$2,076

5 year term

Total Interest

$24,550

Loan Amount$100,000
Total Payment$126,550
Effective APR5.31%
Fees$2,000

Quick Answer

The business loan calculator at practicalwebtools.com helps you calculate monthly payments and total cost for SBA loans, term loans, and commercial financing. Enter your loan amount, interest rate, and term to see your payment schedule and plan your business cash flow.

Key Facts

  • SBA 7(a) loan rates: Prime + 2.25% to 4.75% (currently 11-14%)
  • Traditional bank business loan rates: 7-15% depending on credit
  • Online lender rates: 10-45% for short-term business loans
  • SBA loan terms: up to 25 years for real estate, 10 years for equipment
  • Most term loans require 2+ years in business and $100K+ revenue
  • Equipment loans can use the equipment as collateral for better rates
  • Line of credit: Pay interest only on what you draw

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.