Small-business finance
Business loan payment and total cost
Estimate fixed monthly loan payments, interest, fees and payoff timing, including optional extra monthly principal payments.
Your inputs
Complete the fields for your selected method. Zero means intentionally zero, not unknown. Currency selection labels amounts; it does not convert exchange rates.
How this calculation works
amortized principal = amount borrowed + financed fees; monthly rate = nominal annual rate / 12; scheduled payment amortizes principal over the entered months
Assumes a fully amortizing, fixed-rate loan with no balloon payment, variable rate, payment holiday or prepayment penalty. Fees paid upfront are separate from financed fees; do not count the same fee twice. Annual input is a nominal interest rate, not APR or APY. No collateral, underwriting, SBA guarantee terms, tax treatment or lender eligibility is assessed.
What information do I need?
Use records for the same job, equipment or accounting period. Only the fields for your selected entry method are required. An unknown amount is not zero.
Input definitions and where to find them
- Loan amount before fees (selected currency): Principal before fees. Obtain it from the lender quote or agreement, not a monthly repayment amount.
- Fees added to the loan balance (selected currency): Only fees added to principal and repaid with interest. Enter 0 if none; exclude fees paid upfront.
- Fees paid or withheld upfront (selected currency): Fees paid separately or withheld from proceeds. Do not also count these as financed fees.
- Fixed nominal annual interest rate (%): Use the fixed nominal annual rate from the lender. APR and APY include different conventions and are not interchangeable here.
- Scheduled term (months): Enter the amortization term in whole months, not years. Balloon or interest-only loans need a different model.
- Extra payment each month (0 for none) (selected currency): Optional extra monthly payment applied to principal under the modeled schedule. Check lender rules and penalties.
Use the Where to find this value controls beside the inputs for available work-it-out helpers. Estimates remain your assumptions; a helper does not verify the source figures.
Worked example
Example amounts use US dollars (USD).
Example answer: Scheduled monthly principal and interest is $517.05 for the illustrative inputs below.
Example inputs
- Loan amount before fees: $25,000.00
- Fees added to the loan balance: $500.00
- Fees paid or withheld upfront: $250.00
- Fixed nominal annual interest rate: 8.00 %
- Scheduled term: 60 months
- Extra payment each month (0 for none): $0.00
- Scheduled monthly principal and interest
- $517.05
- Modeled payoff time with extra payments
- 60 months
- Total interest over modeled payments
- $5,522.88
- Total loan payments
- $31,022.88
- Interest plus entered fees
- $6,272.88
- Net proceeds after upfront fees
- $24,750.00
- Fixed monthly compounding and month-end payments. Extra payments shorten the modeled term; the scheduled monthly payment is unchanged. This is not a quoted APR or lender payoff statement.
These illustrative values are not recommended rates or industry averages. Replace every example input with your own figures.
Use the result well
Estimate fixed monthly loan payments, interest, fees and payoff timing, including optional extra monthly principal payments.
Keep inputs on the same scope and time basis. Calculations retain precision internally; displayed values generally round to two decimal places, with extra precision for very small values and whole-unit rounding where required. Economic comparisons describe your supplied assumptions and do not guarantee future results.
This tool provides business arithmetic. It does not approve engineering designs, establish legal or tax treatment, select equipment or certify safe operating conditions.