Business Loan Repayment Calculator
Amortising loans cost less than they look.
Monthly repayment
$2,009.85
$18,073 of total cost
An amortising loan repays principal from the first payment, so the average balance is roughly half the principal — which is why the interest is far below the headline rate times the amount times the years.
How the Business Loan Repayment Calculator works
An amortising loan repays principal from the first payment, so the average balance is roughly half the amount borrowed. That is why total interest is far below the headline rate times the amount times the years.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
How is a loan repayment calculated?
The standard amortisation formula spreads principal and interest evenly across the term. Early payments are mostly interest; later ones mostly principal.
Why is total interest lower than I expect?
Because you are not borrowing the full amount for the full term. The balance falls with every payment, and interest is charged on the balance.
Should I take a longer term?
It lowers the monthly payment and raises total interest. For working capital, matching the term to how long the money is actually needed is better than minimising the payment.
What about arrangement fees?
They belong in the total cost. A low rate with a high arrangement fee can be more expensive than the reverse, particularly on short terms.