Business Loan Calculator

Calculate payments, compare SBA vs traditional loans, and analyze approval odds

Loan Details

$
%

Business Information

$

Additional Options

$
$

Monthly Payment

$2,017.55

Total Interest

$18,553.28

APR

0.00%

Approval Odds

95.00%

Loan Summary

Loan Amount$100,000
Interest Rate7.50%
Total Interest$18,553.28
Total Cost$121,053.28
Loan Term60 months (5 years)
Loan Typesba
Credit Score700
APR0.00%
95%
Approval Likelihood
4.84%
Debt-to-Income
4.8%
Cash Flow Impact
0%
Estimated ROI

Business Loan Tips

Compare SBA vs Traditional Loans

SBA loans often offer better rates and terms but have longer approval times.

Prepare Financial Documents

Have 2-3 years of tax returns, financial statements, and business plan ready.

Improve Business Credit

Work on business credit score separately from personal credit for better rates.

Smart Business Financing

Make informed decisions about business financing:

SBA vs Traditional
SBA loans offer better rates but longer approval times. Traditional loans are faster but more expensive.
Prepare Documentation
Have business plan, financial statements, tax returns, and legal documents ready before applying.
Business Credit Matters
Build business credit separately from personal credit to qualify for better rates and terms.

Business Loan Resources

SBA Loan Programs

Official SBA loan information and programs

Business Loan Guide

Complete guide to business lending

Business Loan Rates

Current rates and lending options

SCORE Business Funding

Free business loan guidance and mentoring

Frequently Asked Questions

What is the difference between SBA and traditional business loans?

SBA loans are partially guaranteed by the government, allowing lenders to offer lower rates and longer terms. Traditional loans have faster approval but typically higher rates and shorter terms.

How much can I borrow with a business loan?

Business loan amounts vary by lender and loan type. SBA loans can go up to $5 million, while traditional loans may range from $25,000 to $500,000 or more based on your business qualifications.

What documents do I need for a business loan application?

Typically you need business tax returns (2-3 years), personal tax returns, business financial statements, business plan, bank statements, and legal business documents.

How does my business credit score affect loan approval?

Business credit scores (0-100) significantly impact approval and rates. Scores above 75 are excellent, 60-74 are good, and below 60 may require additional collateral or higher rates.

Important Disclaimer

This business loan calculator provides estimates for educational purposes only. Actual loan terms, rates, and approval decisions depend on your business's financial profile, credit history, cash flow, and lender requirements. Interest rates, fees, and terms can vary significantly between lenders and loan programs. For accurate quotes and personalized advice, consult with qualified business lenders and consider speaking with a financial advisor or SCORE mentor.

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Guide

Calculate business loan payments and compare SBA vs conventional financing. Model revenue, expenses, and debt service coverage to understand if a loan fits your business cash flow.

Types of Business Loans

SBA 7(a) loans offer longer terms and lower down payments but involve more paperwork. Conventional bank loans are faster but may require stronger credit and collateral.

Lines of credit suit variable cash flow; term loans suit equipment purchases or expansion with predictable returns.

Debt Service Coverage Ratio

Lenders want debt service coverage ratio (DSCR) above 1.25 — meaning net operating income exceeds total debt payments by 25%. Below 1.0 means you cannot cover payments from operations.

Model conservative revenue scenarios before borrowing. A loan that works at peak revenue may fail during a slow quarter.

Key Takeaways

  • Match loan type to your business need (term vs line of credit).
  • Maintain DSCR above 1.25 for lender confidence and safety.
  • Factor origination fees and prepayment penalties into total cost.
  • Borrow only for investments that generate returns above the interest rate.

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