Estimate the modeled cost of a business or SBA loan. Enter the amount, rate, compounding, term, and pay-back schedule for the periodic payment (or an interest-only / balloon alternative), total interest, and an estimated fee-inclusive APR after origination, documentation, and other upfront fees.
Entered business loan fees
| Fee | How it is entered | Typical range |
|---|---|---|
| Origination | Percent of the loan | Use the offer or disclosure |
| Documentation | Dollars | Flat processing charge |
| Other | Dollars | Application, admin, similar |
Examples
$10,000 at 10% for 5 years with 5% + $750 fees
The default: $212.47 every month, $12,748.23 over 60 payments, $2,748.23 in interest, $3,998.23 interest plus fees, and a estimated fee-inclusive APR of 15.931%. The payment itself does not change if you drop the fees — only APR and total cost do.
Interest only on the same loan
You pay $83.33 of interest each month and $10,000 at maturity. Total interest is $5,000; with the same fees, interest plus fees is $6,250 and estimated fee-inclusive APR is 13.448%. Payments are lower now; the balloon still has to be refinanced or paid from cash.
Single balloon at maturity
Nothing is paid until the loan matures. Five years of monthly compounding turns $10,000 into $16,453.09 due in one payment ($6,453.09 of interest). With the default fees, estimated fee-inclusive APR is 12.696%.
Formula
For amortized payback, the contractual payment uses the rate per period r
from the compounding and pay-back maps (n = (years + months / 12) × payments per year; daily uses a 365.25-day year):
discrete: r = (1 + i/m)^(m/ppy) − 1
continuous: r = exp(i/ppy) − 1
payment = P × r / (1 − (1 + r)^(−n))
Totals are round(payment × n, 2). Fees are upfront:
fees = P × origination% + documentation + other
Estimated fee-inclusive APR is the IRR of the (cent-rounded) payment series against
P − fees, then round(12 × ((1 + r_irr)^(ppy/12) − 1) × 100, 3).
Interest-only charges P × r_month each month and the principal at
maturity. In the end is a single balloon P × (1 + EAR)^years.
Compare the lender disclosures, payment schedule, fees, collateral, prepayment terms, and modeled APR together. The default $10,000 at 10% for five years is a $212.47 monthly payment — but 5% origination plus a $750 documentation fee pushes estimated fee-inclusive APR to 15.931%.
Sources and limits
SBA-guaranteed loan terms are negotiated with participating lenders subject to program rules; start with the SBA loan-program overview. This model assumes all entered fees are upfront and included in its APR cash flows. It excludes late fees, unused-line fees, prepayment charges, variable rates, collateral costs, taxes, and lender-specific disclosure rules.