Business loan calculator

What is the monthly payment on a $50,000 business loan?

On a $50,000 business loan over three years, the monthly repayment is about $1,613 at 10% p.a., $1,733 at 15% p.a. and $1,858 at 20% p.a. Stretch it to five years and those fall to roughly $1,062, $1,190 and $1,325 a month, but you carry the interest for two extra years.

The repayment is the number people ask for; the total cost is the number that matters. Over three years, that same $50,000 costs $8,081 in interest at 10%, $12,398 at 15% and $16,894 at 20%. The gap between the cheapest and dearest rate on this table is $8,813 on one facility, which is the entire argument for comparing more than one lender.

What are the repayments on a $200,000 business loan?

Over five years, a $200,000 business loan repays about $4,249 a month at 10% p.a., $4,758 at 15% p.a. and $5,299 at 20% p.a. Over three years the same loan runs between roughly $6,453 and $7,433 a month.

Where do these rates sit?

The 10% to 20% band above reflects non-bank pricing, which is where most fast, lightly-secured business lending sits. Bank-channel pricing is lower and harder to qualify for: the RBA’s business lending series for July 2026 puts new small business variable loans at 7.07% p.a. and new fixed at 8.11% p.a., and the RBA lifted the cash rate to 4.60% on 29 September 2026.

This doubles as a commercial loan calculator. Commercial loan and business loan describe the same lending to a trading business, and the arithmetic doesn’t change with the label. That gap is the trade nobody states plainly. A bank rate is cheaper and comes with a single credit policy, full financials and a slower process. A non-bank rate costs more and reads your business differently. Neither is the right answer in the abstract. Which one you qualify for, and what the difference costs over the term, is the conversation worth having.

All figures on this page are principal and interest, calculated on the amounts, rates and terms shown, with no fees included. Establishment and monthly account fees sit on top and vary by lender. They are arithmetic, not quotes.

How much can I borrow for a business loan?

Less than your turnover suggests and more than a single bank decline implies. Lenders size a facility on what your bank statements show you can service, not on what you ask for, so the practical ceiling is set by consistent surplus cash flow rather than by revenue.

As a rough shape: unsecured facilities commonly run to $250,000 on a director’s guarantee alone, with larger amounts available where the profile is strong. Past that, security starts doing the work. Property backing or a specific asset changes both the ceiling and the rate. What moves the number most is time trading, the consistency of deposits rather than their total, and whether there’s existing debt or an ATO arrangement in the background.

If the amount matters more than the speed, say so at the start. It changes which lenders are worth approaching, and approaching the wrong one first can leave a credit enquiry behind for no benefit.

Is interest on a business loan tax deductible?

Generally yes, where the borrowing is for business purposes. Interest on money borrowed to produce business income is ordinarily deductible, and where a facility is used partly for private purposes the deduction is apportioned to the business share. The ATO sets out the principle in its guidance on deductions for business.

Know what is not deductible, because it catches people out: interest charged on an ATO payment plan stopped being tax deductible on 1 July 2025. So the tax treatment of a commercial facility and of an ATO arrangement now differ, which occasionally changes which one is cheaper once tax is taken into account.

General information, not tax advice. How this applies to your structure depends on facts we cannot see from here, so confirm it with your accountant before relying on it.

How does the break-even work?

If the total interest cost is $27,836 and your margin is 40% of what you sell, you need $27,836 worth of margin to cover the finance, which works out to roughly 21.9% of what the loan bought. Sell more than that and the rest of the margin is profit; sell less and the finance cost the business more than it earned.

This is the same logic lenders like Wayflyer use for their own financing break-even tools, applied here against your own numbers rather than a single lender’s product.

When does this loan stop making sense?