Free Business Loan Calculator
Calculate your loan payments
See monthly payments, total interest, and amortization schedule. Free, no account needed.
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Figure out your monthly payment, total interest, and full repayment cost before you sign anything. Our free business loan calculator shows you exactly what a loan will cost over its full term — including an amortization schedule that breaks down every payment into principal and interest. Whether you're considering an SBA loan, a bank line of credit, equipment financing, or a short-term working capital loan, this tool helps you compare options and understand the true cost of borrowing. No signup required, no sales pitch attached. Just enter the loan amount, interest rate, and term length, and see the numbers instantly. Built for small business owners who want clarity before committing to debt.
How to Calculate Your Business Loan Payment
- 1
Enter the loan amount
Input the total amount you want to borrow. This is your principal — the starting balance before interest.
- 2
Set the interest rate
Enter the annual interest rate (APR) offered by your lender. If you're comparing offers, run the calculator for each rate.
- 3
Choose the loan term
Select the repayment period in months or years. Longer terms mean lower monthly payments but more total interest paid.
- 4
Review your payment breakdown
See your monthly payment, total interest cost, and total amount repaid over the life of the loan.
- 5
Explore the amortization schedule
View a month-by-month table showing how each payment splits between principal reduction and interest charges.
Why Calculate Before You Borrow?
Know the true cost
A $100,000 loan at 8% over 5 years costs $21,660 in interest. Over 10 years, it's $45,600. This calculator shows you exactly what you're committing to before you sign.
Compare loan offers
Run different scenarios side by side — change the rate, term, or amount to see how each variable affects your monthly payment and total cost.
Plan your cash flow
Your monthly loan payment is a fixed obligation. Knowing it in advance lets you budget accurately and make sure you can cover it alongside other expenses.
Full amortization schedule
See exactly how much of each payment goes to principal vs. interest. Early in the loan, most goes to interest — this table shows you when the crossover happens.
Frequently Asked Questions
How do you calculate monthly loan payments?
The formula is: M = P × [r(1+r)^n] / [(1+r)^n - 1], where P is the principal, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments. This calculator handles the math instantly — just enter your loan details.
What is a good interest rate for a small business loan?
SBA loans typically range from 5-10%. Traditional bank loans are 6-13%. Online lenders charge 8-30%+ depending on your credit and revenue. The best rate depends on your credit score, time in business, and revenue. Use this calculator to compare what each rate actually costs you.
Should I choose a shorter or longer loan term?
Shorter terms have higher monthly payments but save significantly on total interest. Longer terms are easier on monthly cash flow but cost more overall. Run both scenarios in this calculator to see the tradeoff for your specific loan.
What is an amortization schedule?
An amortization schedule is a table showing every payment over the life of your loan, broken into principal and interest components. Early payments are mostly interest; as the principal decreases, more of each payment goes toward paying down the balance. It's essential for understanding the true timeline of your debt.
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