Finance calculator
Business Loan Calculator
Use this business loan calculator to estimate the monthly payment and total borrowing cost for a fixed-rate loan. It is useful for comparing loan sizes, interest rates, and repayment terms before speaking with a lender or advisor.
Formula
- Monthly rate = annual interest rate / 12
- Number of payments = loan term in years x 12
- Monthly payment = principal x monthly rate / (1 - (1 + monthly rate)^-payments)
- Total interest = monthly payment x payments - principal
Example calculation
For a $50,000 loan at 9% annual interest over 5 years, the estimated monthly payment is about $1,038. Total repayment is about $62,275, including roughly $12,275 in interest.
FAQ
Does this business loan calculator include fees?
No. It estimates principal and interest only. Origination fees, closing costs, late fees, and prepayment rules can change the actual cost of a business loan.
Can the monthly payment change?
This calculator assumes a fixed interest rate and level monthly payments. Variable-rate loans or lines of credit can have payments that change over time.
Is this a loan approval estimate?
No. It is an educational payment estimate and does not predict approval, qualification, or lender terms.
Educational disclaimer
MoneyHackWise calculators are for educational purposes only and do not provide financial, investment, tax, legal, accounting, lending, or business advice. Results are estimates based on the inputs and assumptions shown.