Business Loan
Business loan calculator.
Estimate the monthly payment, total interest, and all-in cost — including the origination fee — on a Canadian business term loan. Updates as you type.
Updates as you type| Built on Canadian mortgage rules| Ontario & Canada-wide| Built by FSRA-licensed brokers
Calculator reviewed by the Principal Broker, Mortgage Squad Advisors · FSRA #13737| Updated June 2026
The short answer
A business loan calculator turns three numbers — loan amount, interest rate, and term — into a monthly payment and a total cost of borrowing. Add the lender's origination fee to see the real all-in figure. Your actual rate depends on your credit, cash flow, time in business, and whether the loan is secured — we shop 100+ lenders to find the sharpest.
Your inputs
Business term loans compound monthly. Your real rate depends on credit, cash flow, time in business, and security. See financing options →
Estimated monthly payment
$3,150
9.50% over 5 years
Loan amount$150,000
Total interest over term$39,017
Origination fee (1.00%)$1,500
Total cost of borrowing$40,517
Where your money goes
Principal you borrow vs. the interest and fees you pay on top.
Principal $150,000 Interest $39,017 Fee $1,500
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How this is calculated
Estimates use equal monthly payments with interest compounded monthly (the business-loan convention), amortized over the term you enter. The origination fee is added to your total cost of borrowing. Revolving lines of credit charge interest only on the drawn balance, so for those this is an upper-bound estimate. Your actual rate, term, and fees are confirmed by the lender at underwriting.
Mortgage glossary— terms that matter for this calculator
How is a business loan payment calculated?
The monthly payment is a function of three inputs: the loan amount (principal), the annual interest rate, and the loan term (amortization). The calculator amortizes the principal plus interest into equal monthly payments over the term. A shorter term means higher monthly payments but far less total interest; a longer term lowers the payment but raises the total cost of borrowing.
What is an origination fee?
An origination (or lender) fee is a one-time charge some business lenders add to set up the loan, usually 0.5%–3% of the loan amount. It's often deducted from the advance, so a $150,000 loan with a 1% fee nets you about $148,500. This calculator adds it into your total cost of borrowing so the number you see is the real one — we disclose every fee in writing before you sign.
What interest rate will I pay on a business loan in Canada?
It depends on your file. Unsecured working-capital lines run roughly Prime + 2.5% to Prime + 6%; secured term loans sit around 6%–9% on real-estate-backed, 7%–12% on equipment, and higher on receivables. The main drivers are your credit score, business cash flow and debt-service coverage, time in business, and whether the loan is secured. See the full breakdown on our business loans page.
What types of business loans can I estimate here?
Any amortizing business loan: a term loan, equipment financing, a real-estate-secured business loan, CSBFP financing, or an acquisition loan. For revolving working-capital lines you pay interest only on what you draw, so use this as an upper-bound estimate. Explore the financing options or model a property purchase with the commercial mortgage calculator.
What do I need to apply for a business loan?
A business loan application usually asks for recent business financial statements (income statement and balance sheet), 6–12 months of bank statements, and consent for a credit check. For a smaller small business loan or a business line of credit, lenders weigh cash flow and time in business more than collateral. Start a no-pull pre-qualification and we'll tell you exactly what your file needs.
Does applying for a business loan affect my credit score?
Pre-qualification is a no-pull, soft check. Most business credit decisions rely primarily on business credit and cash flow, with a soft personal-credit check only at full underwriting. Multiple lender shops within 14 days are bundled by the bureaus, so you can compare offers without stacking hard hits.
How do I get the lowest rate on a business loan?
Match the product to the use of funds, put up security where it lowers the rate, and shop widely. Your bank quotes one rate sheet; a broker maps your file across 100+ lenders — banks, monolines, BDC-style program lenders, and private — and structures across them. Start a no-pull pre-qualification.
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