Running a business often means taking on financing to fuel growth, cover expenses, or seize new opportunities. Our business loan calculator helps Canadian business owners quickly estimate monthly payments, total interest, and overall loan costs of a business loan. Whether you’re comparing short-term vs. long-term financing or evaluating different interest rates, this free tool gives you the insights you need to plan smarter.
- Smarter Loans
- Business Loan Calculator
Business Loan Calculator
Business Loan Calculator
Fast estimates for monthly payment, total interest & cost.
Loan Amount$50,000
$
$25k
$50k
$100k
APR (Fixed)9.5%
%
7.99%
9.5%
12.99%
Term60 months
months
24m
60m
84m
Quick Actions
Monthly Payment
$0
Fixed-rate estimate
Total Interest
$0
Over full term
Total Cost
$0
Principal + interest
View Amortization Schedule
| Month | Payment | Principal | Interest | Balance |
|---|
Ready to Get Funded?
Compare top Canadian lenders and apply online in minutes. Your business deserves smarter financing.
Apply for a Business LoanHow to Use the Business Loan Calculator
Step 1: Enter your desired loan amount.
Step 2: Adjust the interest rate (APR).
Step 3: Choose your repayment term in months.
Step 4: Click “Calculate” to see your monthly payment, total interest, and total cost.
Step 5: Expand the amortization schedule to see payment breakdowns over time.
Tip: Try different loan scenarios with the quick-select chips to see how term length and interest rate affect your payments.
Why Use a Business Loan Calculator?
A business loan calculator helps you:
Compare scenarios quickly – See how different loan amounts, interest rates, or repayment terms impact affordability.
Avoid overborrowing – Understand the full cost of borrowing before you apply.
Plan cash flow – Ensure your business can comfortably handle monthly payments.
Make informed decisions – Compare lenders and loan offers on a like-for-like basis.
💡 Example Loan Scenarios
Loan Amount$10,000
Interest Rate8% APR
Term12 months
Monthly Payment$869
Total Cost$10,428
Loan Amount$25,000
Interest Rate8% APR
Term24 months
Monthly Payment$1,131
Total Cost$27,144
Loan Amount$50,000
Interest Rate9.5% APR
Term36 months
Monthly Payment$1,602
Total Cost$57,672
Loan Amount$100,000
Interest Rate10% APR
Term60 months
Monthly Payment$2,125
Total Cost$127,500
Loan Amount$250,000
Interest Rate12% APR
Term84 months
Monthly Payment$4,113
Total Cost$345,492
Business Loans Basics
What is a Business Loan?
A business loan is financing provided by a lender to help companies cover expenses, purchase equipment, invest in growth, or manage cash flow. Loans can be secured (backed by collateral) or unsecured (based on creditworthiness).
Types of Business Loans Available in Canada
Term Business Loans – Fixed loan amount repaid over a set period.
Lines of Credit – Flexible borrowing you can draw on as needed.
Equipment Financing – Loans specifically for equipment or machinery.
Merchant Cash Advances – Advance based on future sales, with factor rates instead of APR.
SBA-style / Government-backed Loans (in Canada, through programs like BDC).
Tips for Smart Borrowing of Business Capital
Check eligibility first – Many lenders require at least 1 year in business and a minimum revenue threshold.
Compare multiple lenders – Use Smarter Loans to review trusted Canadian providers side-by-side.
Factor in fees – Origination fees, insurance, or early repayment penalties can change the total cost.
Test repayment strategies – Try adding extra monthly payments in the calculator to see how much faster you can pay off your loan.
❓ Business Loan Calculator FAQs
Clear answers to the most common questions from Canadian business owners.
Q What does the business loan calculator do? ›
It estimates your monthly payment, total interest, and total loan cost based on the loan amount, APR, and term you enter. Use it to compare scenarios and plan cash flow before you apply.
Q Does using the calculator mean I’m approved? ›
No. Results are estimates only. Actual approval and terms depend on the lender, your business revenue, time in business, credit profile, and other factors.
Q What’s a typical interest rate for business loans in Canada? ›
Rates vary by lender and profile, but many small business loans fall roughly between 7% and 25% APR. Stronger financials can qualify for lower rates; higher-risk files may see higher rates.
Q What term should I choose? ›
Shorter terms = higher monthly payments, lower total interest. Longer terms = lower monthly payments, higher total cost. Try 12, 24, and 48 months in the calculator to see the trade-offs.
Q Can I pay off a business loan early? ›
Many lenders allow early repayment; some charge penalties. Use the calculator with an extra payment to see how much interest you could save and how fast you could finish.
Q Why use Smarter Loans to find financing? ›
We make it easy to compare Canada’s top business lenders in one place, so you can find products that fit your revenue, term, and industry—without endless applications.
Compare Business Loans📊 See Your Options, Then Apply
Once you’ve run the numbers with our calculator, the next step is simple — connect with Canada’s leading business lenders and unlock smarter funding opportunities.
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