EMI Calculator
Calculate your Equated Monthly Installments (EMI) easily with our EMI calculator. Plan your loan repayments and understand the total cost of borrowing.
EMI Calculator
Monthly EMI
₹0
Total Interest Payable
₹0
Total Amount Payable
₹0
What is a Business Loan EMI Calculator?
Business Loan EMI Calculators are indeed a boon for business owners and entrepreneurs who want to estimate their monthly loan payments. With only a single click, a business owner can calculate the EMI amount, the interest rate, and the overall tenure of the loan with ease. An MSME loan EMI calculator can offer great benefits to start-ups and MSMEs, as using such a tool, MSMEs can make informed decisions and evaluate their borrowing decisions.
Understanding how the EMI is calculated is critically important for a business, as it is a mode of achieving greater efficacy in managing cash flow. Analyzing the calculations can save an entrepreneur from falling into over-borrowing traps while enabling timely repayment without straining the firm's present finances.
Key Features of a Business Loan Calculator
- •User-Friendliness: A business loan interest calculator comes with a highly user-friendly interface that any individual can easily navigate and use. These days, most such calculators are coming up with a clean and minimalistic interface to enhance user experience. These calculators are designed in such a way that an individual with minimum finance knowledge can easily use and know the monthly EMI they have to pay.
- •Quick Results: A business loan calculator is capable of calculating the monthly EMI in just a few seconds. If you try to calculate your monthly business EMI manually, you may end up wasting hours of your time without reaching a clear statement. A business calculator does the work in only a few seconds, with accuracy.
- •Inputs: The benefit of using this calculator is that a user can manually enter any input value as they wish. Sometimes it may happen that the user enters an amount incorrectly, and cannot modify it later. A business loan calculator in India offers the benefit of making any adjustments to the loan amount entered, as well as to the tenure. This further allows an organisation to evaluate the direct effect cast by the adjustments on the EMI.
- •Comparison of Different Loans: One can easily compare different loan tenures and EMIs by using a business loan interest calculator. For startups and MSMEs, this calculator offers an invaluable aid by creating a comparison between multiple loan amounts. MSMEs and startup owners can find out competitive interest rates by a broader comparison with this calculator.
How to Use Covrzy's Business Loan EMI Calculator
The business loan interest calculator of Covrzy has features that make computation essentially easier, with advanced features such as adjustment and change of interest rates. Here are 5 easy steps to use Covrzy's loan EMI calculator:
Step 1 - Input Loan Amount
You can directly input the principal loan amount which the borrower wishes to borrow. The loan amount can be either in lakhs or even in thousands, depending on the business requirement.
Step 2 - Enter Interest Rate
The next step is to input the rate of interest as offered by the borrower. The user needs to note that the interest rate to enter will be based on per annum, and not monthly. Also, various lenders offer different interest rates, so before entering the interest rate, one needs to be aware of the accuracy of the information.
Step 3 - Select Tenure
Selecting the overall tenure is simple with Covrzy's EMI calculator. The tenure will usually range between 1-10 years, the business needs to only select the amount of duration for which the loan will be taken.
Step 4 - Calculate EMI
This is the final step, where the business simply needs to click Calculate to instantly generate the EMI amount liable to be paid. In addition to the EMI, a split amortisation schedule may be visible to the user in case it is available.
Step 5 - Final adjustment
Many users end up adding the wrong amount or entering an incorrect interest rate, which eventually impacts the EMI. The Covrzy calculator offers a direct adjustment if the EMI is not aligned with the business expectations. The user can moderate the loan principal or even the interest rate according to their convenience.
Benefits of the Business Loan Interest Calculator
For Financial Planning
Financial planning largely depends on the amount of investment as well as the credit position of the business. A business loan EMI calculator directly offers the actual EMI amount in a few clicks which can aid businesses to take the right financial decision. This in turn, ensures that the business is running with an adequate cash flow to meet all and any gaps.
Avoidance of Overborrowing
Businesses that have the least understanding of their market liability, tend to overborrow. Overborrowing is highly discouraged owing to the reason that it can quickly demote a business with gaps in revenue and poor finance. Using an EMI calculator is beneficial as it limits the business to overborrow by correctly evaluating the loan amount. In the case of startups, this offers a great advantage.
For More Negotiation Capability with Lenders
By being aware of the payable EMIs, businesses can better negotiate with the lenders. A calculator shows the exact EMI amount, which helps the business to understand the complete financial picture, and negotiate with lending institutions.
Estimation Of Repayment Tenure
Businesses can quickly arrive at the decision to adjust their EMIs by looking at the repayment tenure. An MSME loan EMI calculator can quickly reveal the actual tenure required to repay the loan, which comes as a great aid for businesses. A startup owner or an MSME entrepreneur can decide to pay higher or lower EMIs by closely overviewing the tenure.
You may also read Top 5 Government Subsidy Loans for Business in India
Conclusion
Before wrapping it up, the importance of a commercial loan calculator needs to be re-emphasised. With it, the tedious calculation of monthly repayments becomes easy, leading to better financial and decision-making. With this, the business owner knows that they borrow responsibly within their capacity. For more information on business loans and how you can optimize your financial strategy, click here.
Frequently asked question
How much would be the EMI on a loan of 20 lakh in India?
The EMI on a loan of ₹ 20 lakh is entirely dependent on the tenure of loan repayment as well as the interest rate charged. For example, if the interest rate of 11% p.a is levied on a loan of ₹ 20 lakh for 5 years, then the EMI will be ₹ 43,485.
What will be the EMI for 7 lakh for 5 years in India?
What will be the EMI for a 30-year loan of 1 crore in India?
Do you have more questions?
For more queries related to EMI calculations, loan planning, and financial management, ask your queries and get your doubts clarified.
Think You Can't Afford Group Health Insurance?
Think Again. Don't Leave Your Employees Vulnerable
