The basics, once
- Everything runs in your browser. The numbers you type are not sent to us or anyone else.
- Defaults are examples. Replace every number with your own. The rate fields start with typical figures, and the prime rate starts from the latest published value.
- Results are estimates. A lender's quote will include fees, insurance and underwriting details these tools cannot know.
- Numbers sit on the right of each box, next to their unit (%, years, $).
Calculator by calculator
SBA 7(a) and SBA Express
You enter: Loan amount, use of proceeds, base (prime) rate, lender spread, term, SBA guarantee, fee-waiver status, annual net operating income.
You get: Monthly payment, interest rate, guaranteed portion, upfront guaranty fee, total interest, annual debt service and DSCR. Warns if the spread is above SBA's cap for the loan size or the term is longer than typical for the use.
Tip: Leave the guarantee at 0 for the standard 85% (up to $150,000) or 75% (above). Express loans use 50%. The upfront fee may be passed on to you; the lender's annual service fee is shown in the notes for information only because the lender cannot charge it to you.
SBA 504
You enter: Total project cost, bank rate, CDC debenture rate, term, new-business and special-purpose flags, fee-waiver status, annual net operating income.
You get: The 50% bank, CDC and borrower-equity split, each piece's monthly payment, the combined payment, blended rate, SBA fees and DSCR.
Tip: The CDC rate is fixed when the debenture is funded; ask a CDC for today's figure. New businesses and special-purpose properties each add 5 points of required equity, which reduces the CDC share.
Payment calculator (Microloan, commercial term loan)
You enter: Loan amount, rate, term, optional annual net operating income.
You get: Monthly payment, total interest, total repaid, and DSCR if you enter income.
Tip: It assumes a fully amortizing loan. If your loan has a balloon payment, the real payment schedule will differ.
Business line of credit
You enter: Credit limit, base rate, lender spread, average share of the limit drawn, months of use, annual fee.
You get: Monthly interest on the average drawn balance, interest and fees over the period, and the credit still available.
Tip: It uses an average balance rather than a draw-by-draw schedule, so treat it as a planning estimate.
Equipment financing
You enter: Equipment price, down payment, credit profile, equipment type, new or used, term.
You get: Estimated rate, monthly payment, total interest, and a table of estimated rates for every credit profile.
Tip: These are planning estimates from a model, not offers. See below for how the model works.
Mortgage payment
You enter: Home price, down payment, rate, term, property tax rate, homeowner's insurance, PMI rate.
You get: Principal and interest, tax, insurance, total monthly payment (PITI) and total interest.
Tip: With under 20% down the tool adds an estimate of private mortgage insurance (PMI) using the PMI rate you enter. HOA dues are not included.
Home affordability
You enter: Household income, other monthly debts, down payment, rate, tax and insurance.
You get: The home price that fits the 28% and 36% guidelines on a 30-year loan.
Tip: Lenders can allow more or less than the guidelines.
Refinance break-even
You enter: Original loan, current rate and term, years already paid, new rate and term, closing costs.
You get: Balance today, monthly savings, break-even in months, interest saved or added, and the net result after closing costs.
Tip: A longer new term can lower the payment while adding interest, so read both the break-even and the interest lines.
DSCR
You enter: Annual net operating income, loan amount, rate and term.
You get: Debt service coverage ratio, the income needed to reach 1.25x, and your cushion.
Tip: Lenders may adjust your income (add-backs) before calculating their own DSCR.
Commercial real estate loan
You enter: Property price, down payment, rate, amortization, loan term, annual net operating income.
You get: Monthly payment, loan-to-value, DSCR, and the balloon balance due at the end of the term.
Tip: If the term is shorter than the amortization, plan now for how you will refinance or repay the balloon.
SBA down payment
You enter: Total project cost and what you are doing (startup, buying a business, expanding, or a 504 project).
You get: The down payment SBA expects, the share of the project it represents, and the amount left to borrow.
Tip: These are planning minimums. Your lender can ask for more.
Equipment payment by term
You enter: Equipment price, down payment, credit profile, equipment type, new or used.
You get: The estimated rate and the monthly payment for terms from 2 to 7 years.
Tip: The same rate is used at every term. Lenders often charge more for longer terms.
Equipment lease versus loan
You enter: Price, cash due at the start, term, loan rate, lease rate, and the equipment's value at the end.
You get: Monthly payments, cash paid, and the net cost of each option after counting the value of equipment you keep.
Tip: The answer depends heavily on the end value. Try a lower figure to see how sensitive it is.
Reading DSCR
The debt service coverage ratio is annual net operating income divided by annual loan payments. At 1.00 the business exactly covers the payments. Many lenders look for 1.25 or better. See DSCR explained for a worked example.
When your number does not match a lender's
The usual reasons are fees folded into the loan, a different term or amortization, a rate that changes over time, insurance or escrow, and the lender counting your income differently. Ask for the Loan Estimate or term sheet and compare line by line. If one of our figures looks wrong, tell us and include the inputs you used.