Business Loan Calculator – Payments, APR and Amortization Schedule
Estimate the scheduled payment, fee-inclusive APR, interest, total borrowing cost, and payoff date for a fixed-rate business term loan. Model monthly, biweekly, or weekly payments, optional financed or deducted fees, a balloon, and recurring extra principal.
Private: calculations stay in this browserMethod reviewed: July 31, 2026Model: fixed-rate equal-period loanEstimate—not a loan offer or disclosure
Estimated loan results
Scheduled monthly payment—Excludes any optional extra payment and final balloon.
Estimated fee-inclusive APR—
Effective annual rate—
Opening loan principal—
Net proceeds to business—
Required fees entered—
Total interest with extras—
Total amount repaid—
Total borrowing cost—
Estimated payoff date—
Number of payments—
Final payment with balloon—
Interest saved with extras—
PrincipalInterestFees
Results will appear here without changing the card’s basic layout.
Estimated APR is not a lender, legal, or regulatory disclosure.
Business loan amortization schedule
Calculate to generate the payment-by-payment schedule.
Payment
Date
Beginning balance
Scheduled
Extra
Balloon
Principal
Interest
Ending balance
No schedule calculated yet.
How to use this business loan calculator
1. Match the quote
Enter the requested cash amount, stated annual interest rate, term, frequency, and first payment date from the proposed loan terms.
2. Treat fees correctly
Choose “deducted” if fees reduce the proceeds deposited to the business. Choose “financed” if the fees are added to principal and repaid over time.
3. Model the contractual balloon
Enter only principal contractually due at maturity. The scheduled payment is calculated to leave that balance for the final period.
4. Test prepayment separately
Add recurring extra principal to estimate interest and time saved. The APR result continues to use contractual cash flows without voluntary extras.
Business loan formulas and assumptions
For an ordinary fully amortizing loan with no balloon, the equal periodic payment is:
Payment = P × r × (1 + r)n ÷ ((1 + r)n − 1)
Here, P is opening principal, r is the entered nominal annual interest rate divided by 12, 26, or 52, and n is the number of payments. At 0% interest, payment is principal divided by the number of payments.
With a balloon B, the present value of the balloon is removed before calculating the level payment:
Payment = (P − B ÷ (1 + r)n) × r ÷ (1 − (1 + r)−n)
The estimated APR solves for the periodic rate that makes the present value of the contractual payment stream equal to the amount made available after entered upfront finance fees. It then multiplies that periodic rate by the selected number of payment periods per year. This follows the general actuarial structure in CFPB Regulation Z Appendix J, but it is an educational estimate and does not determine which charges a lender must include.
Equal-period assumption: monthly means 12 equal periods per year, biweekly means 26, and weekly means 52. The schedule displays calendar dates, but interest is not calculated using actual days. Monthly due dates that exceed the last day of a month are moved to that month’s final day.
What to compare in a business loan offer
Measure
What it shows
Watch for
Scheduled payment
Regular cash outflow before optional extras and any final balloon.
A low payment can result from a longer term or a large balloon.
Interest rate
Rate used to calculate periodic interest on principal.
It may exclude origination and other required charges.
Estimated APR
Annualized cash-flow cost after the entered fees.
Business-loan disclosure rules and fee definitions vary; confirm the lender’s method.
Total borrowing cost
Total modeled payments minus net proceeds available to the business.
Prepayment, late charges, changing rates, and penalties are not included.
Balloon payment
Principal deferred until maturity.
The business must fund or refinance a larger final payment.
Business Loan Calculator FAQ
How is the payment calculated?
The tool uses the standard fixed-rate amortization formula. A portion of each payment covers interest on the opening balance and the rest reduces principal.
Why is APR higher than the interest rate?
Required fees can reduce the net proceeds or increase the principal repaid. The estimated APR reflects those entered cash flows, while the interest rate alone does not.
Must a business lender disclose APR?
Not always. U.S. Regulation Z generally exempts primarily business-purpose credit. State or product-specific rules may still apply, so ask the lender for a comparable annualized cost and full payment schedule.
What does financing the fee do?
It adds the entered fees to opening principal. That usually raises the regular payment and interest because the fee itself is repaid over the term.
What does a balloon do?
It lowers the regular payment by leaving principal for maturity. The final payment shown includes the remaining contractual balloon unless extra payments retire it earlier.
Can I model weekly payments?
Yes. Weekly uses 52 equal periods per year and biweekly uses 26. A lender using daily interest or actual day counts can produce different figures.
Can I enter a factor rate?
No. A factor rate is not an annual interest rate. Merchant cash advances and sales-based remittances need a cash-flow model based on the actual amounts and dates.
Do extra payments always save interest?
They do in this model because they immediately reduce principal. A contract may impose a penalty, minimum finance charge, or different application order.
Why might the lender schedule differ?
Daily accrual, irregular first periods, compounding, rounding, holidays, additional charges, and payment allocation rules can all change the result.
Does this page store my figures?
No. Your entries are processed locally in this browser and are not uploaded or stored by the calculator.
Method, limits, and sources
Scope: fixed-rate, single-advance term loans with equal payment periods. The model excludes variable rates, lines of credit and redraws, daily or sales-based remittances, late charges, prepayment penalties, minimum interest, taxes, collateral valuation, personal guarantees, and lender-specific day-count or rounding methods.
Financial and legal limit: this is an educational planning estimate, not financial, accounting, tax, investment, lending, or legal advice; not a credit decision; and not a regulatory disclosure. Confirm all costs, payment dates, collateral, guarantees, covenants, default terms, and prepayment rules in the signed agreement. If the loan is material to the business, consider review by a qualified adviser.
