Business Loan EMI Calculator

Loan		1 m/10 Lac
Tenure
Interest	%

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EMI

16,253

Interest

560,273

Principal

1,000,000

Total

1,560,273

560 K
(5 Lac)

8 Year

1,000,000

416 K
(4 Lac)

Year

Original

Reduced 𝒊

How to Reduce Interest/ Tenure?

Pay Extra EMI every year. 𝒊
Increase EMI by % every year. 𝒊
Pay Lump-Sum in year. 𝒊

Loan Summary
Loan start year
Tenure reduced	2 year 2 months
Interest saved	143,691

Loan Summary

Loan start year

Tenure reduced

2 year 2 months

Interest saved

143,691

Loan Payment Schedule

Original Reduced

283 K
(2 Lac)

212 K
(2 Lac)

141 K
(1 Lac)

70 K

2024

2028

2031

Balloon Payment

Business Loan EMI

A Business Loan EMI Calculator is an easy-to-use tool that helps you estimate your monthly EMI (Equated Monthly Installment) based on the loan amount, interest rate, and tenure. This calculator also allows you to explore ways to reduce your loan tenure or interest by making extra EMIs, lump-sum payments, or increasing your EMI annually, helping you manage your business loan repayments efficiently.

Calculate Business Loan EMI

To calculate business loan EMI enter loan details including loan amount, interest rate, tenure and choose months or years.
Click Calculate to view your initial loan breakdown.
Customize payment options with three inputs.
Select a number of extra EMIs per year.
Increase EMIs by a percentage.
Select lump sum payment in a specific year.
Adjust inputs as needed and click Recalculate to update your tenure and interest dynamically.

Eligibility Criteria for Business Loan EMI

Business Registration: Applicants must have a registered business entity, such as a sole proprietorship, limited liability company, or corporation.
Creditworthiness: Lenders assess the creditworthiness of both the business and its owners, including evaluating the business’s credit history, financial statements, and personal credit scores. A strong credit profile can positively influence the business loan EMI.
Business Viability: Evidence of the business’s viability and potential for generating sufficient revenue to repay the loan is required. This may include business plans, sales forecasts, profitability projections, and other relevant documents to ensure the business loan EMI is manageable.
Collateral: Depending on the loan amount and terms, lenders may require collateral to secure the loan, which could be in the form of business assets.

Business Loan EMI Calculator FAQ

How can I reduce my Business Loan EMI?

You can reduce your business loan EMI by making extra EMIs, paying lump-sum amounts, or increasing your EMI every year. These options can help lower the overall interest or reduce the loan tenure.

What documents are typically required to apply for a business loan?

When applying for a business loan, you generally need to provide documents such as proof of business registration, financial statements, tax returns, and a business plan.

How does a business loan affect my company's finances?

A business loan can impact your company's finances by increasing your monthly expenses due to EMIs. It can also affect your cash flow, as you need to manage both the principal and interest payments.

How extra EMI(s) help?

At the end of the year, you can pay extra EMIs out of your savings. This extra EMI payment will go towards your Loan Amount and save you on the interest as well as tenure of the loan.

Payment	Tenure	Interest
Current	8 year	560,273
1 Extra EMI/ year	8 year ▶ 0 year	494,632 ▶ 65,641
2 Extra EMI/ year	7 year ▶ 1 year	444,410 ▶ 115,863
3 Extra EMI/ year	6 year ▶ 2 year	405,459 ▶ 154,814

How increasing EMI helps?

As your income increases each year, you can get your EMI increased from the bank. This allows you to allocate more funds towards paying off the loan amount and save you on the interest as well as tenure of the loan.

Payment	Tenure	Interest
Current	8 year	560,273
Increase EMI by 1%	8 year ▶ 0 year	540,957 ▶ 19,316
Increase EMI by 3%	8 year ▶ 0 year	508,849 ▶ 51,424
Increase EMI by 5%	7 year ▶ 1 year	482,986 ▶ 77,287

How Paying Lumpsum Amount helps?

If you receive unexpected income, such as a bonus or tax refund, consider making a lump-sum payment on your loan. This can help reduce the outstanding loan amount and save you on the interest as well as tenure of the loan.

Payment	Tenure	Interest
Current	8 year	560,273
Pay 10% in 2nd year	8 year ▶ 0 year	466,509 ▶ 93,764
Pay 20% in 3rd year	7 year ▶ 1 year	430,735 ▶ 129,538
Pay 30% in 4th year	6 year ▶ 2 year	434,771 ▶ 125,502

How to Reduce Interest/ Tenure?

Making early payments towards Principal amount can reduce your Interest and/ or Tenure.

1. How extra EMI(s) help?

At the end of the year, you can pay extra EMIs out of your savings. This extra EMI payment will go towards your Loan Amount and save you on the interest as well as tenure of the loan.

2. How increasing EMI helps?

3. How Paying Lumpsum Amount helps?