How is a business loan payment calculated?

With a standard amortized formula: the monthly payment is fixed so that principal plus interest is fully repaid over the term. Higher rates and shorter terms raise the monthly payment.

What interest rate should I use?

It varies widely — bank and CSBFP financing is cheaper than alternative or bad-credit financing. Use a rate near an offer you've received, or try a range to see how sensitive the payment is.

No. It's an estimate to help you plan. Actual rates, terms, and payment frequency are set by the lender once you apply.

Business Loan Calculator (Canada)

Amount: $50,000Annual rate: 14%Term: 12 months

Estimated monthly payment: $4,489.36
Total interest: $3,872.27
Total repaid: $53,872.27

An estimate only, using a standard amortized-loan calculation. Actual rates, terms, and payment frequency vary by lender and product.

How to read the numbers

The monthly payment is what you'd pay each month to fully repay the amount over the term. Total interest is the cost of the financing on top of the principal, and total repaid is the two combined. A shorter term raises the monthly payment but lowers total interest; a lower rate lowers both. Compare an offer's real annualized cost, not just its monthly payment, and weigh it against what the cash lets your business earn or avoid.

Frequently asked questions

How is a business loan payment calculated?: With a standard amortized formula: the monthly payment is fixed so that principal plus interest is fully repaid over the term. Higher rates and shorter terms raise the monthly payment.
What interest rate should I use?: It varies widely — bank and CSBFP financing is cheaper than alternative or bad-credit financing. Use a rate near an offer you've received, or try a range to see how sensitive the payment is.
Is this an offer?: No. It's an estimate to help you plan. Actual rates, terms, and payment frequency are set by the lender once you apply.

See what type of financing may fit

A few questions about your business — takes about 3 minutes.

See what you may qualify for

Crewline is a referral and matching service, not a lender. We do not make credit decisions or guarantee approval. Financing is provided by third-party lenders subject to their own terms and criteria.