UK
IRE
AU
CA
US
ZA
NAExpert financial copywriter
Page written by Chris Godfrey. Last reviewed on March 6, 2026. Next review due April 6, 2027.
Your loan details
This calculator is intended for illustration purposes only and exact payment terms should be agreed with a lender before taking out a loan.
Your results
Monthly payments
£0
Weekly payments
£0
Daily payments
£0
Avg. monthly interest
£0
Total interest
£0
Total cost of finance
£0
Borrow £A business loan calculator is a digital tool to estimate potential loan costs. It calculates monthly payments, total interest, and repayment amounts based on the amount you want to borrow, the interest rate you’ll pay and the term (duration) of the loan. By inputting these details, businesses can evaluate affordability, compare loan options, and plan their budget more effectively.
To use our business loan calculator, simply input the loan amount, the interest rate, and the repayment term. The calculator will then generate your results, which will show you how much you’ll need to pay each month, the average monthly interest and the total amount you’ll pay over the life of the loan.
Business loan interest may be charged in different ways, and it can all get pretty complicated. However, a simple way to cut through the financial jargon is to understand that interest charges on all loans are accrued using the same basic structure. To achieve a good estimate of the interest you’ll pay over the life of the loan you only need to know:
To calculate your business loan interest, use this formula: Principal × APR x time.
This means you multiply the loan amount (principal) by the annual interest rate (APR) and loan term (in years). For monthly payments, you then divide the result by the number of months in the term.
£10,000 borrowed at an APR of 5% over 3 years:
£10,000 x 5% = £500 interest charged per year
£500 x 3 years = £1,500 total interest you’ll pay over the term of the loan
£1,500 divided by 36 months (3 years) = £41.66 interest charged per month
APR stands for Annual Percentage Rate and it shows borrowers the true rate of interest they’ll pay on a loan regardless of how the interest is charged.
AER stands for Annual Equivalent Rate, and it shows the true rate of interest you’ll make on your savings. AER helps savers to compare accounts to get the best return on their saved cash.
Lenders consider a range of factors when you apply for a business loan. Your income, existing debts and cash flow help to determine if you can afford to pay back the sum you borrow. This means affordability is an important metric to be eligible for a loan.
A business loan calculator helps estimate loan affordability. It reveals potential monthly payments that can be compared to your business income and current expenses. Essentially, if you know what you can afford to pay each month, a business loan calculator will show you what you can borrow for that money, and it will prevent you from asking for a loan that is too large for your financial capacity. Applying for a loan where you repayment feasibility is high can increase your chances of approval.
Business loans that typically have low interest rates include:
As well as charging interest, most business loans come with additional costs, such as set-up fees, documentation fees and origination fees. You may also need to make an initial down payment – sometimes called a ‘deposit’. With so many variables, it’s easy to accept a loan that costs you more than you need to pay. However, this is where Swoop can help, because working with business finance experts can make all the difference when applying for a loan.
Contact us to discuss your borrowing needs, get help with your application and to compare high-quality business loans from a choice of lenders. Never pay more than you need to. Always get the right loan at the right price. Register with Swoop today.
We work with world class partners to help us support businesses with finance
Swoop Finance Limited helps UK firms access business finance by working directly with businesses and their trusted advisors. We act as a credit broker, not a lender, and do not provide loans or finance products ourselves. We introduce applicants to a panel of lenders, equity funds, and grant agencies based on individual circumstances and creditworthiness.
Commission Disclosure: We typically receive a commission from the finance provider (either a fixed fee or a fixed percentage of the amount you receive) upon successful placement. Different providers pay different rates. For certain lenders, we may have influence over the interest rate, which can impact the total amount payable under your agreement.
Regulatory Information:
FCA: Authorised and regulated by the Financial Conduct Authority as a credit broker (FRN: 936513) and registered as an Account Information Services Provider (Ref: 833145).
ICO: Registered with the Information Commissioner’s Office (Ref: ZA600162); registration can be verified at ico.org.uk.
Company Details: Registered in England & Wales with Companies House (No. 11163382). Registered Address: The Stable Yard, Vicarage Road, Stony Stratford, Milton Keynes, MK11 1BN. VAT Number: 300080279.
Terms: All finance and quotes are subject to status, income, and terms and conditions. Applicants must be aged 18 or over. Guarantees and indemnities may be required. Please refer to our terms and conditions and our complaints procedure for further details.
yet? Register here!