Business Loan Calculator
Estimate business loan payments, total interest, fee-adjusted borrowing cost, and net funding available to your business.
Business Loan Calculator for Total Borrowing Cost
Use this calculator to estimate payment obligations and total cost before taking a business loan. It includes interest, origination fee impact, and recurring service fees for a fuller cost view.
Understanding Monthly Payment
The principal-and-interest payment is based on an amortizing fixed-rate loan. If lenders charge monthly servicing fees, those should be added to understand the true recurring cash flow requirement.
Why Net Funding Matters
Origination fees are often deducted from disbursed funds. That means you may borrow a stated amount but receive less cash to use in your business.
Comparing Lenders Effectively
When comparing offers, evaluate total paid over life of loan, not just rate. Upfront fees and service charges can make a nominally lower-rate offer more expensive in practice.
Frequently Asked Questions
What is origination fee?
It is an upfront lender fee, often a percentage of the loan amount, charged for processing and underwriting.
Is a longer term always better?
Longer terms can lower monthly payment but may increase total interest and total borrowing cost.
Should I include monthly service fees?
Yes. Recurring fees increase effective monthly obligation and total paid over the term.
Does this include variable rates?
No. This model assumes a fixed rate across the full term.