Business Loan EMI Calculator

How to Use the Business Loan EMI Calculator?
 

Metra Trust Business Loan EMI Calculator is easy to use. You must enter your principal loan amount, interest rate and the commercial loan tenure. Once you have entered the details, you get the monthly EMI, total interest, and overall loan cost within seconds.

1. Choose the amount that you need for your business
2. Select a convenient loan tenure
3. Enter the interest rate offered depending on your business type
4. Press the ‘Calculate’ button

You will get your monthly EMI and other loan details within seconds.

How is Business Loan EMI Calculated?
 

The EMIs on your business loans are calculated based on your principal loan amount, interest rates and loan tenure. With a commercial loan EMI calculator tool, you get a real-time estimate of your monthly EMIs. It will help you plan your finances and determine your loan tenure and the loan amount based on your business requirements.

Here is the formula to calculate the business loan EMIs:

EMI=P*R*(1+R) ^ n/(1+R) ^ n-1

Where: ‘P’ stands for the principal loan amount, ‘R’ is the interest rate offered, and ‘n’ stands for loan tenure in months.

Using a business loan calculator removes the need to manually calculate your EMIs and helps prepare a better financial blueprint to grow your business.

Factors That Affect Business Loan EMI
 

Factors that affect your business loan EMIs include:

Borrowed amount
 

The sum borrowed, also known as the principal loan amount, is a fundamental factor that affects your monthly instalments. With a higher borrowed amount, the monthly instalment also increases.

Interest rate
 

Interest rate is another crucial factor that impacts your business loan EMIs. You may get preferential rates based on your credit performance, current loans, and business track record. Interest rate also decides your total loan cost over the tenure.

Loan tenure
 

Your loan tenure impacts your monthly instalments. A shorter tenure increases your EMIs but reduces the interest component, while a longer tenure brings your monthly repayment down but increases your interest cost.