SBA Loan Calculator
Use this free SBA loan calculator to estimate the monthly payment on an SBA or small-business loan. Enter your loan amount, interest rate, and term to see your monthly payment, total interest, and total amount repaid instantly.
Your loan
This estimates the monthly payment using standard loan amortization. It does not set the SBA’s actual rates — your real rate is set by your lender and the SBA program.
Your estimated payment
Estimated monthly payment
$3,515
principal + interest, per month
Total interest paid
$171,786
Total amount repaid
$421,786
Number of payments
120
Remaining balance over time
Your balance falls slowly at first — early payments are mostly interest — then drops faster as more of each payment goes toward principal.
How this calculator works
This tool estimates the monthly payment on an SBA or small-business loan using standard loan amortization — the same math banks use to set a fixed monthly payment that fully repays a loan over its term. It does not set the SBA’s actual rates. Your real interest rate is negotiated with your lender within SBA program limits and depends on the prime rate, your credit, the loan size, and the term, so the figures here are a planning estimate rather than a quote.
The formula takes three inputs: your loan amount, your annual interest rate, and your term in years. It converts the annual rate to a monthly rate (r = rate ÷ 100 ÷ 12) and the term to a number of monthly payments (n = years × 12), then solves for the level payment:
Monthly payment = Amount × r × (1 + r)n ÷ ((1 + r)n − 1)
Each month, part of the payment covers the interest that accrued on the remaining balance and the rest reduces the principal. Early on, most of your payment is interest; as the balance falls, more goes toward principal — which is why the balance chart drops slowly at first and then accelerates. For example, at an 11.5% rate, a longer term lowers the monthly payment but raises the total interest you pay over the life of the loan, while a shorter term does the opposite.
On loan size, your options depend on the program. According to the U.S. Small Business Administration (SBA), a 7(a) loan can provide up to $5 million in financing — though the amount you actually qualify for is based on your business, cash flow, and the lender’s underwriting. The results card shows your estimated monthly payment, total interest paid, total amount repaid, and the number of payments. These figures cover principal and interest only and exclude SBA or lender fees such as guaranty fees and closing costs.
A loan estimate is one input into a fundable plan. To put the payment in context of your revenue and cash flow, see the business plan financials hub, and if you’re applying for SBA financing, the business plan for an SBA loan guide walks through what lenders expect. You can also project your numbers forward with the financial projection calculator.
Frequently asked questions
How is an SBA loan payment calculated?
This calculator uses the standard loan amortization formula. It converts your annual interest rate to a monthly rate (rate ÷ 100 ÷ 12) and your term to a number of monthly payments (years × 12), then solves for a fixed monthly payment that pays off the loan over that term. Each payment covers the interest accrued that month plus a portion of principal; early payments are mostly interest, and later payments are mostly principal.
What interest rate should I use?
Use the rate your lender quotes, or a realistic estimate for your situation. SBA loan rates are negotiated between you and your lender within SBA program limits and move with the prime rate, your credit profile, the loan size, and the term — so they vary. For example, at an 11.5% rate the calculator shows what a loan would cost at that rate, but you should replace it with your actual quoted rate for an accurate estimate.
How much can I borrow with an SBA loan?
It depends on the program and your qualifications. According to the U.S. Small Business Administration (SBA), a 7(a) loan can provide up to $5 million in financing. The amount you actually qualify for is based on your business, cash flow, collateral, and the lender’s underwriting, so it is usually less than the program maximum.
What loan term is typical?
Terms vary by how you use the loan. Working-capital and equipment loans commonly run from around 5 to 10 years, while loans used to buy real estate can extend to 25 years. This calculator lets you model any term from 1 to 30 years, so you can compare how a longer term lowers the monthly payment but increases the total interest you pay.
Does this include fees?
No. This is an estimate of principal and interest only. SBA and lender fees — such as the SBA guaranty fee, packaging fees, or closing costs — are not included, and your real rate is set by your lender, not by this tool. Treat the result as a planning estimate of your core monthly payment, and confirm exact figures with your lender before you commit.
Build an SBA-ready business plan
Lenders want more than a payment estimate. Optimus Business Plans builds the funding-ready financials and narrative that SBA lenders expect — around your numbers.
Create your business plan