How to use the business loan calculator
Input your loan details:
- Loan amount: The total amount you're looking to borrow
- Interest rate: Input the annual interest rate you expect to pay.
- Loan term: The length of your loan. This calculator uses months. Other lenders may break down the time by years.
- Purpose of loan: The business needs you will be using the loan for.
Click the Estimate Payments button to get your results.
Understand your results:
- Monthly payment: The estimated amount you'll pay each month.
- Total principal: The amount of the loan.
- Total interest: The total interest you will pay over the life of the loan.
- Total amount paid: The total amount you'll end up paying for the loan including interest and principal.
Benefits of using the small business loan calculator
Use the QuickBooks small business loan calculator to help you:
- Plan and budget effectively.
- Better understand the true cost of borrowing.
- Compare loan scenarios, including term length and interest rates.
- Identify cost savings.
- Make informed decisions.
- Empower business growth.
Small business loan calculator FAQs
What can I use a small business loan for?
According to QuickBooks research on entrepreneurship, 1 in 10 business owners say getting financing to unlock growth is their top goal. Small business loans can be used for a wide range of purposes, including but not limited to: marketing, day-to-day operating expenses, expanding the business, and hiring employees. Businesses of every size should have access to loans.
What types of business loans are available?
In general there are many different types of business loans available for businesses of every size and stage. These include lines of credit, term loans, equipment loans, and SBA loans. Through QuickBooks, you can find more grants to apply for here and see lending products available through QuickBooks.
What should I consider when choosing a lender?
Consider factors like loan terms, fees, interest rates, and customer service. There are many loan calculators available from a variety of lenders that can help estimate your monthly payments should you get a loan through them.
Will a small business loan affect my personal credit score?
If the loan is guaranteed by your personal credit, or if you are a sole proprietor, you will be personally responsible for repaying the loan if the business can't.
Beyond that, lenders usually want to know the answer to three questions:
- Can you repay the loan?
- Will you repay the loan?
- Will you make every single payment, even if something unexpected occurs?
A lender may check your personal credit report to predict the outcome of a loan. Always try to make consistent on-time payments on both personal and business loans. Missed or late payments can harm your credit score.
You can find out more about how business loans may affect your business & or personal credit in this article.
How long does it take to get a small business loan?
The timeline can vary depending on lenders. SBA-backed loans can take longer than ones from smaller online lenders because they need extensive underwriting.
Additional lending resources from Intuit QuickBooks
Check out lending products through QuickBooks like QuickBooks Term Loan and QuickBooks Line of Credit, or explore more financing options in our marketplace.
