Commercial Finance Calculator
Commercial finance calculator works out Payment and Total interest from Loan amount, Annual interest rate and Loan term. The default figures on this page give payment of 3,727.87; change any entry and the result, the working and the sources update together.
Your figures
Updates as you typeHow this is worked out
3 steps
- Rate per period = 6.5% / 12 = 0.541667%
- Payment = P i / (1 - (1+i)^-n) = 3727.87
- Over 60 payments the total paid is 651617.5, of which 151617.5 is interest.
Amortisation scheduletable
| period | payment | interest | principal | balance |
|---|---|---|---|---|
| 1 | 3,727.87 | 2,708.33 | 1,019.54 | 498,980.46 |
| 2 | 3,727.87 | 2,702.81 | 1,025.06 | 497,955.4 |
| 3 | 3,727.87 | 2,697.26 | 1,030.61 | 496,924.79 |
| 4 | 3,727.87 | 2,691.68 | 1,036.19 | 495,888.6 |
| 5 | 3,727.87 | 2,686.06 | 1,041.81 | 494,846.79 |
| 6 | 3,727.87 | 2,680.42 | 1,047.45 | 493,799.34 |
| 7 | 3,727.87 | 2,674.75 | 1,053.12 | 492,746.22 |
| 8 | 3,727.87 | 2,669.04 | 1,058.83 | 491,687.39 |
| 9 | 3,727.87 | 2,663.31 | 1,064.56 | 490,622.83 |
| 10 | 3,727.87 | 2,657.54 | 1,070.33 | 489,552.5 |
| 11 | 3,727.87 | 2,651.74 | 1,076.13 | 488,476.37 |
| 12 | 3,727.87 | 2,645.91 | 1,081.96 | 487,394.41 |
| 13 | 3,727.87 | 2,640.05 | 1,087.82 | 486,306.59 |
| 14 | 3,727.87 | 2,634.16 | 1,093.71 | 485,212.88 |
| 15 | 3,727.87 | 2,628.24 | 1,099.63 | 484,113.25 |
| 16 | 3,727.87 | 2,622.28 | 1,105.59 | 483,007.66 |
| 17 | 3,727.87 | 2,616.29 | 1,111.58 | 481,896.08 |
| 18 | 3,727.87 | 2,610.27 | 1,117.6 | 480,778.48 |
| 19 | 3,727.87 | 2,604.22 | 1,123.65 | 479,654.83 |
| 20 | 3,727.87 | 2,598.13 | 1,129.74 | 478,525.09 |
| 21 | 3,727.87 | 2,592.01 | 1,135.86 | 477,389.23 |
| 22 | 3,727.87 | 2,585.86 | 1,142.01 | 476,247.22 |
| 23 | 3,727.87 | 2,579.67 | 1,148.2 | 475,099.02 |
| 24 | 3,727.87 | 2,573.45 | 1,154.42 | 473,944.6 |
| 25 | 3,727.87 | 2,567.2 | 1,160.67 | 472,783.93 |
| 26 | 3,727.87 | 2,560.91 | 1,166.96 | 471,616.97 |
| 27 | 3,727.87 | 2,554.59 | 1,173.28 | 470,443.69 |
| 28 | 3,727.87 | 2,548.24 | 1,179.63 | 469,264.06 |
| 29 | 3,727.87 | 2,541.85 | 1,186.02 | 468,078.04 |
| 30 | 3,727.87 | 2,535.42 | 1,192.45 | 466,885.59 |
| 31 | 3,727.87 | 2,528.96 | 1,198.91 | 465,686.68 |
| 32 | 3,727.87 | 2,522.47 | 1,205.4 | 464,481.28 |
| 33 | 3,727.87 | 2,515.94 | 1,211.93 | 463,269.35 |
| 34 | 3,727.87 | 2,509.38 | 1,218.49 | 462,050.86 |
| 35 | 3,727.87 | 2,502.78 | 1,225.09 | 460,825.77 |
| 36 | 3,727.87 | 2,496.14 | 1,231.73 | 459,594.04 |
| 37 | 3,727.87 | 2,489.47 | 1,238.4 | 458,355.64 |
| 38 | 3,727.87 | 2,482.76 | 1,245.11 | 457,110.53 |
| 39 | 3,727.87 | 2,476.02 | 1,251.85 | 455,858.68 |
| 40 | 3,727.87 | 2,469.23 | 1,258.64 | 454,600.04 |
| 41 | 3,727.87 | 2,462.42 | 1,265.45 | 453,334.59 |
| 42 | 3,727.87 | 2,455.56 | 1,272.31 | 452,062.28 |
| 43 | 3,727.87 | 2,448.67 | 1,279.2 | 450,783.08 |
| 44 | 3,727.87 | 2,441.74 | 1,286.13 | 449,496.95 |
| 45 | 3,727.87 | 2,434.78 | 1,293.09 | 448,203.86 |
| 46 | 3,727.87 | 2,427.77 | 1,300.1 | 446,903.76 |
| 47 | 3,727.87 | 2,420.73 | 1,307.14 | 445,596.62 |
| 48 | 3,727.87 | 2,413.65 | 1,314.22 | 444,282.4 |
| 49 | 3,727.87 | 2,406.53 | 1,321.34 | 442,961.06 |
| 50 | 3,727.87 | 2,399.37 | 1,328.5 | 441,632.56 |
| 51 | 3,727.87 | 2,392.18 | 1,335.69 | 440,296.87 |
| 52 | 3,727.87 | 2,384.94 | 1,342.93 | 438,953.94 |
| 53 | 3,727.87 | 2,377.67 | 1,350.2 | 437,603.74 |
| 54 | 3,727.87 | 2,370.35 | 1,357.52 | 436,246.22 |
| 55 | 3,727.87 | 2,363 | 1,364.87 | 434,881.35 |
| 56 | 3,727.87 | 2,355.61 | 1,372.26 | 433,509.09 |
| 57 | 3,727.87 | 2,348.17 | 1,379.7 | 432,129.39 |
| 58 | 3,727.87 | 2,340.7 | 1,387.17 | 430,742.22 |
| 59 | 3,727.87 | 2,333.19 | 1,394.68 | 429,347.54 |
| 60 | 3,727.87 | 2,325.63 | 1,402.24 | 427,945.3 |
Yearly summarytable
| year | interest | principal | endingBalance |
|---|---|---|---|
| 1 | 32,128.85 | 12,605.59 | 487,394.41 |
| 2 | 31,284.63 | 13,449.81 | 473,944.6 |
| 3 | 30,383.88 | 14,350.56 | 459,594.04 |
| 4 | 29,422.8 | 15,311.64 | 444,282.4 |
| 5 | 28,397.34 | 16,337.1 | 427,945.3 |
Its 11 worked examples are re-run on every release, last on 15 September 2026. What changed
Sources and references
5 sources
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What the commercial finance calculator calculates
Computes the level payment, total interest and full amortisation schedule for an instalment loan, and solves the same annuity equation backwards for the rate, the term or the amount that can be borrowed. Handles extra principal, balloon structures and fees withheld at closing.
How to use this commercial finance calculator
Enter Loan amount, Annual interest rate, Loan term and Term - additional months. Payment updates as you type. Change one figure at a time to see what drives the result.
How the result is worked out
Open “How this is worked out” beside the result for the step-by-step calculation behind Payment, Total interest and Total of payments.
The method follows Standard annuity-immediate payment formula, PMT = P i / (1 - (1+i)^-n), 12 CFR Part 1026 (Regulation Z), Appendix J - Annual Percentage Rate Computations, Consumer Financial Protection Bureau, "What is a balloon payment? When is one allowed?", 13 CFR 120.212 - What limits are there on the maturities of 7(a) loans? and 26 U.S.C. 72(p)(2)(B) - repayment period for a loan from a qualified employer plan.
What you can compare
Change one input at a time to see how it affects Payment, Total interest and Total of payments. The inputs you can vary are Loan amount, Annual interest rate, Loan term, Term - additional months, Payment frequency and Extra payment each period.
Results are general information, not financial, tax, legal, medical or engineering advice. Check any decision that matters with a qualified professional.
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Frequently asked questions
What is the payment on a $1,000,000 business loan?
On the figures this page opens with — loan amount 25,000, annual interest rate 6.5% and loan term 5 years — the payment is 3,727.87. No single number fits everyone: change any figure above and the answer updates as you type, with each step of the arithmetic beside it.
Do you have to put 20% down on a commercial loan?
Computes the level payment, total interest and full amortisation schedule for an instalment loan, and solves the same annuity equation backwards for the rate, the term or the amount that can be borrowed. On the figures this page opens with — loan amount 25,000, annual interest rate 6.5% and loan term 5 years — the payment is 3,727.87. Put your own figures in their place and the working updates beside the result.
What is the monthly payment on a $400,000 loan at 7%?
It needs Loan amount, Annual interest rate, Loan term, Term - additional months, Payment frequency and Extra payment each period. Nothing else is required, and the figures stay in your browser.
How to calculate a commercial loan?
Computes the level payment, total interest and full amortisation schedule for an instalment loan, and solves the same annuity equation backwards for the rate, the term or the amount that can be borrowed. Open “How this is worked out” beside the result to see each step for your own figures.
What information do I need for the commercial finance calculator?
You need Loan amount, Annual interest rate, Loan term, Term - additional months, Payment frequency, Extra payment each period, Balloon payment due after and Origination fee or points. The page opens with default figures that give payment of 3,727.87, so you can see the scale before entering your own.
What does this commercial finance calculator show?
It shows Payment, Total interest, Total of payments, Number of payments, Payoff time, Rate per period, Interest per unit borrowed and Interest saved by extra payments, with the working and any warnings for your entries.