Lendus.

Business loan calculator

How much will a business loan cost per month?

A £50,000 business loan over 5 years at 12% APR costs about £1,112 a month and £66,733 in total — £16,733 of interest. Change the amount, term and rate below to see your own figure. Shorter terms cost less overall but more each month.

Updated . Lendus is an introducer, not a lender — these figures are indicative and not a quote.

£50,000
60 months
12%

Unsecured business loans typically run 7%–36% APR. Secured lending is usually 4%–15%.

£0

Often 1%–3% of the loan, either deducted from the advance or added to the balance.

Your estimate

Indicative only. Not a quote and not an offer of finance.

What this calculator assumes

Frequently asked questions

How is a business loan repayment calculated?
Lenders use the standard amortising formula: M = P × r ÷ (1 − (1 + r)^−n), where P is the amount borrowed, r is the monthly interest rate (annual rate ÷ 12) and n is the number of monthly payments. Every instalment is the same size, but the split shifts over time: early payments are mostly interest, later ones mostly capital.
What interest rate will I actually be offered?
It depends on trading history, turnover, credit profile and whether you offer security. As a guide, secured business loans in the UK typically run 4%–15% APR, unsecured term loans 7%–36% APR, and short-term or merchant cash advance products are priced on a factor rate rather than an APR. A lender will only quote a firm rate after a full assessment.
Does a longer term make a loan cheaper?
No. A longer term lowers the monthly payment but increases total interest, because you are borrowing the money for longer. Extending a £50,000 loan at 12% from 3 years to 5 years cuts the monthly cost by roughly £550 but adds around £6,000 of interest. Pick the shortest term your cash flow can comfortably absorb.
Is an arrangement fee included in the APR?
A true APR should include compulsory fees, but quoted headline rates often do not. Always ask for the total amount repayable, not just the rate — that single figure is the only reliable way to compare two offers.

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