Estimate a monthly business loan payment
Monthly loan payment calculator
For a fixed-rate, fully amortizing loan with equal monthly payments. Enter an annual interest rate, not a monthly rate, factor rate, or an APR that already incorporates fees.
Example: $50,000 at 12% annual interest for 36 months, with no separate upfront fee. Results use unrounded calculations; your agreement may round payments differently.
Monthly principal and interest schedule
| Month | Payment | Principal | Interest | Balance |
|---|
Compare a factor-rate financing offer
Factor-rate total cost calculator
A factor rate is a multiplier, not an annual interest rate. This illustration assumes a withheld upfront fee and an entered number of equal payments.
Example: $50,000 × 1.30, less $1,000 withheld at funding, with 52 equal payments. This is not an APR calculation.
How to read the results
Monthly loan
The payment includes principal and interest under a fixed-rate monthly amortization model. Interest is calculated on the remaining balance. Separately paid fees add to total outlay without changing the scheduled principal.
Factor-rate offer
The multiplier gives a contractual payback illustration. A withheld fee reduces the cash received. The difference between payback and cash received makes that fee visible.
A factor of 1.30 is not a 30% annual interest rate
Timing, payment frequency, net proceeds, and the repayment structure matter. This tool does not convert an advance into APR or determine whether its actual reconciliation terms resemble an equal-payment schedule.
These tools do not model variable interest, balloon payments, interest-only periods, late fees, insurance, or all credit-line draw structures. Check the final payment schedule and disclosures provided with the agreement.
The calculation, explained
For a monthly amortizing loan, the monthly rate is the annual interest rate divided by 12. With principal P, monthly decimal rate r, and number of months n, the payment is P × r ÷ [1 − (1 + r)−n]. At 0% interest it is P ÷ n.
For the factor illustration: total payback = gross advance × factor. If fees are withheld, cash received = gross advance − withheld fees. The illustrated financing cost is the difference between total payback and cash received. Dividing total payback by the entered payment count assumes equal payments; the actual contract can work differently.
No name, email, bank statement, or business information is needed to use these tools. The arithmetic runs in your browser.
Questions to ask after you calculate
- Amount received in your bank account after fees.
- Total amount you will pay, including required fees.
- Payment amount, frequency, and first payment date.
- Personal guarantee, collateral, and any business-asset lien.
- Early repayment terms, renewal rules, and default provisions.
Ask the provider to explain any difference between the tool and the quoted payment. If two offers use different terms, compare both against the same realistic business cash forecast rather than choosing solely by the payment amount.
For recurring draws, read the credit-line guide. To size an operating gap, use the working capital cash-gap calculator.
Calculator FAQs
Are the example rates actual Sunlight offers?
No. The preset figures are examples for explaining the math. They are not a quote, approval, advertised minimum, or expected rate.
Should I enter APR in the annual interest field?
Enter the contract’s annual interest rate. An APR can include certain fees, so using APR and then adding those fees again may double count them. Ask for the provider’s rate, payment schedule, and separate fee disclosures.
Can this calculate a credit-line draw?
Only if the draw has fixed-rate, fully amortizing monthly payments that match the model. Other payment frequencies, interest-only structures, variable rates, and additional fees need a different calculation.
Why might the last payment differ?
The tool uses unrounded balances internally and rounds displayed dollars. A provider may use different rounding, dates, accrual methods, or fees; its contractual schedule controls.
Sources and further reading
General educational resources. Product requirements change; confirm the terms of any specific offer directly with its provider.
Tell us what your business needs.
Discuss your cash timing, requested amount, and potential financing options with Gerold at Sunlight Capital Pros.
Sunlight Capital Pros is a financing brokerage. Final approval, amount, rate, permitted uses, and terms depend on the third-party provider and underwriting.