Small Business Loan Calculator: Payments, Total Cost & APR With Fees

Comparing a merchant cash advance?

Advances are often priced with a “factor rate” instead of an interest rate. Enter the offer to see what it costs as a yearly rate.

Advance amount

$

Factor rate ⓘ

×

Total repayment ÷ advance, e.g. 1.3 means you repay 1.3 times the advance.

Expected months to repay

months

Fees taken from the advance

$

Loan readiness checklist

Country

· ticks are saved on this device

Know how much you need, and why
Use the startup cost calculator and write down exactly what the money is for.
Check your credit reports
Lenders often look at your personal credit, especially for new businesses. See our free credit score action plan.
Have a business plan
Lenders commonly ask for one. Our free template takes about an hour for a lean plan.
Prepare your financial records
Bank statements, tax returns and simple profit and loss figures. A clear record-keeping setup helps: see LedgerGuide.
Make sure the payment fits your cash flow
Use the calculator above. The payment needs to come out of profit, even in a slow month.
Compare the total cost, not just the rate
Include fees, and check for prepayment penalties and whether you must give a personal guarantee.
Look at government-backed options
SBA loans are made by lenders and partly guaranteed by the SBA. Lender Match connects you with interested SBA lenders. SBA: loans · SBA Lender Match
Bad or thin credit? Look at microloans and CDFIs
SBA microloans go up to $50,000 through nonprofit intermediary lenders, and Community Development Financial Institutions focus on underserved borrowers. SBA: microloans · CDFI Fund
Look at the government-backed Start Up Loan
Personal loans of £500 to £25,000 for UK businesses trading up to five years, at a fixed 7.5% a year (for applications from 6 April 2026), repaid over 1 to 5 years, with free mentoring. Start Up Loans · British Business Bank
Look at the Canada Small Business Financing Program and BDC
CSBFP loans are made by banks and credit unions with a government guarantee. BDC is the federal business development bank. CSBFP · BDC small business loan
Look at government finance information and grants
business.gov.au explains finance options and lists grants and programs. business.gov.au: finance · business.gov.au: grants and programs

What the numbers mean

Payment: the fixed amount you pay each period.
Total interest: what you pay on top of the amount you borrowed.
Total cost: interest plus fees: the real price of the loan.
APR including fees: because fees reduce the money you actually get, the true yearly cost is higher than the headline rate.

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Frequently asked questions

How do I calculate a business loan payment?

For a fixed-rate loan with equal payments: payment = loan × r ÷ (1 − (1 + r)^−n), where r is the rate per payment period and n is the number of payments. The calculator does this and shows the year-by-year breakdown.

What is a good interest rate for a small business loan?

It varies with the lender, the loan type, your credit and the economy. Compare offers on total cost, including fees, rather than the headline rate.

Can I get a small business loan with bad credit?

It’s harder, but options exist, such as microloans and community lenders (CDFIs in the US). Be careful with very expensive short-term finance; check its true yearly cost in the calculator above.

Can small business loans be forgiven?

Normal business loans must be repaid. Some past emergency programs, such as the US Paycheck Protection Program, offered forgiveness under specific rules, but standard SBA and bank loans are not forgiven.

Does the calculator include fees?

Yes. Add any arrangement or origination fees and it shows the total cost and the yearly rate including fees.

Small Business Loan Calculator

Your loan

Repayments and total cost