Business Loan Calculator
Total Interest Paid
Total Payment
Monthly Payment
Building the Bridge from Idea to Reality
Every great business starts with an idea. But to turn that idea into a thriving enterprise, you often need capital. A business loan acts as the material to build a bridge from your vision to reality—whether it's for purchasing equipment, expanding operations, or managing cash flow.
However, borrowing comes with a cost. This calculator is designed to demystify that cost. By entering your desired loan details, you can instantly see your **monthly payment**, a critical number for your budget. More importantly, you'll see the **total interest** you'll pay over the life of the loan, revealing the true cost of financing your growth.
Plan Your Finances from Every Angle
- Startup Cost Calculator: Determine exactly how much capital you need to ask for in your loan application.
- Break-Even Point Calculator: Show lenders a clear path to profitability and your ability to repay the loan.
- Return on Investment (ROI) Calculator: Project the financial return you expect from the assets or projects funded by the loan.
Frequently Asked Questions (FAQ)
What is a business loan?
A business loan is a sum of money issued by a financial institution to a company for a specific purpose. In return for the capital, the business agrees to repay the borrowed amount, plus interest, over a predetermined period of time.
How is the monthly payment (EMI) calculated?
The Equated Monthly Installment (EMI) is a fixed payment amount made by a borrower to a lender at a specified date each calendar month. The EMI is calculated using the principal loan amount, the interest rate, and the loan tenure. It ensures that the principal and interest are fully paid off by the end of the loan term.
What's the difference between interest rate and APR?
The interest rate is the percentage of the principal charged for borrowing money. The Annual Percentage Rate (APR) is a broader measure of the cost of a loan. It includes the interest rate plus any additional fees, such as origination fees or closing costs, giving you a more complete picture of the loan's annual cost.