Pro Funding Options
Business loan payment calculator
Estimate the payment, total payback, and approximate APR for a working capital loan, merchant cash advance, term loan, line of credit, or SBA loan. Example math only, not an offer.
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How is a business loan payment calculated?
A business loan payment depends on how the lender prices the money. A factor-rate product, such as a working capital loan, multiplies the amount by the factor: $150,000 at a 1.28 factor costs $192,000 in total, paid as 52 weekly payments of about $3,692 over 12 months. An interest-rate product, such as a business term loan, amortizes: $150,000 at 11% APR over 36 months is about $4,911 per month, or $176,789 in total.
The Pro Funding Options calculator uses these formulas:
- Factor rate: total repaid = amount × factor. Payment = total repaid ÷ number of payments. Interest does not shrink as you pay down the balance.
- Interest rate (APR): payment = amount × r ÷ (1 − (1 + r)−n), where r is the APR divided by payments per year and n is the number of payments. Early payments are mostly interest; later payments are mostly principal.
- Payment counts: 12 per year for monthly, 52 per year for weekly, and 252 business days per year for daily.
- Approximate APR: for factor-rate products, the calculator finds the annual rate that would make the same payments repay the same amount. It excludes fees, so the APR on a real offer can be higher.
What APR does a factor rate equal?
A factor rate converts to a much higher APR than the factor suggests, because the fee is charged on the full amount even as the balance falls, and the term is short. A 1.28 factor over 12 months with weekly payments works out to roughly 50.8% APR before fees. The same 1.28 factor repaid over 6 months is closer to 100.0%. Factor-rate funding can still be the right tool when speed matters or the money earns a fast return, but compare it on APR, not just on the factor.
| Factor rate | 6 months, weekly | 12 months, weekly | 12 months, daily |
|---|---|---|---|
| 1.15 | 55.3% | 28.1% | 28.5% |
| 1.20 | 72.8% | 37.0% | 37.5% |
| 1.28 | 100.0% | 50.8% | 51.4% |
| 1.35 | 122.9% | 62.4% | 63.2% |
| 1.45 | 154.6% | 78.4% | 79.3% |
Approximate APR before fees, calculated by Pro Funding Options from equal payments over the term. The amount borrowed does not change the APR.
How much is the payment on a $150,000 business loan?
The payment on a $150,000 business loan depends mostly on the term and the product. A 10-year SBA 7(a) loan at an example 10.5% APR runs about $2,024 per month. A 3-year business term loan at 11% APR runs about $4,911 per month. A 12-month working capital loan at a 1.28 factor runs about $3,692 per week. Longer terms lower the payment but take more time to approve, and SBA loans usually take 30 to 90 days to fund.
| Product | Example pricing | Term and schedule | Payment | Total repaid | Approx. APR |
|---|---|---|---|---|---|
| Working capital loan | 1.28 factor | 12 months, weekly | $3,692 per week | $192,000 | 50.8% |
| Merchant cash advance | 1.35 factor | 9 months, daily | $1,071 per day | $202,500 | 84.1% |
| Business line of credit | 15% APR | 12 months, monthly | $13,539 per month | $162,465 | 15.0% |
| Business term loan | 11% APR | 36 months, monthly | $4,911 per month | $176,789 | 11.0% |
| Equipment financing | 9% APR | 60 months, monthly | $3,114 per month | $186,825 | 9.0% |
| SBA 7(a) loan | 10.5% APR | 120 months, monthly | $2,024 per month | $242,883 | 10.5% |
Example inputs, not quotes. Merchant cash advances are usually repaid as a share of card sales, so the daily figure is an average. SBA 7(a) rates are tied to the prime rate.
Daily, weekly, or monthly business loan payments: which costs less?
For a factor-rate loan, the payment schedule does not change the total repaid, but more frequent payments raise the effective APR because the balance falls faster. On $150,000 at a 1.28 factor over 12 months, the total is $192,000 either way. Weekly payments of $3,692 work out to about 50.8% APR. Daily payments of $762 over 252 business days work out to about 51.4%.
The bigger question is cash flow. Daily and weekly payments suit businesses with steady daily sales, such as restaurants and retail. Monthly payments suit businesses paid on invoices, such as contractors and B2B services. If your revenue arrives monthly, a daily debit can create a cash gap even when the total cost looks fine.
What does this business loan calculator leave out?
The Pro Funding Options business loan calculator estimates payments from four inputs: amount, rate, term, and payment schedule. A real offer can differ. Lenders price each file on revenue, time in business, credit, and industry, and Pro Funding Options only runs a funding match for U.S. businesses with at least 2 years in business and $300,000 in annual revenue.
- Fees. Origination, underwriting, or closing fees add to cost and raise the true APR.
- Variable rates. Many SBA loans and lines of credit move with the prime rate, so the payment can change.
- Sales-based repayment. Merchant cash advances often collect a share of card sales instead of a fixed amount.
- Early payoff terms. Some factor-rate offers include a discount for early payoff; many do not.
- Draws on a line of credit. You pay only on what you draw, and repayment terms vary by lender.
To compare real offers side by side, use the Pro Funding Options business loan marketplace or read the business loan FAQ on documents and timelines.
Business loan calculator questions
Is the business loan calculator result a loan offer?
No. The Pro Funding Options business loan calculator shows example math from the amount, rate, term, and payment schedule you enter. A real offer comes from a lender after underwriting, and its pricing depends on revenue, time in business, credit, and the product.
Does using the business loan calculator affect my credit?
No. The calculator runs in your browser and nothing you type is submitted. Checking what you qualify for through Pro Funding Options also uses a soft credit check, which does not affect your score.
Can I pay off a factor-rate loan early to save money?
Sometimes. With a factor rate, the total payback is usually fixed at signing, so paying early saves nothing unless the lender offers an early-payoff discount. Ask how early payoff works before you sign.