Business Loan Calculator
Transparent, instant quotes. Adjust your terms to see exactly what you'll pay, including all fees.
Estimated Monthly Payment
£5,329.76
Total Interest
£19,435.70
Total Payable
£95,935.70
Smart Monthly Estimate
Cost Breakdown
Including Fees
Please note that our rate comparison tool only provides an estimate of the cost of a loan. These are not guaranteed offers.
Definitions of Business Loan Rates
We’ve provided the following key definitions to give you a better understanding of your funding options and allow you to make an informed decision.
Annual Interest Rate
The annual rate charged on a loan. Expressed as a percentage, it represents the actual yearly cost of funding over the term. Annual interest is calculated by multiplying the monthly rate charged by the number of payment periods in a year (e.g., Annual Rate = Monthly Rate × 12).
Yield
Yield denotes the total interest paid in a year as a percentage of the loan amount. It is calculated by dividing the total amount of interest paid in one year by the funded amount. For example, if £2,500 interest was paid on £10,000 funding, the yield would be 25%.
Factor Rate
Commonly associated with Merchant Cash Advances. Instead of a percentage, it's written as a decimal, typically ranging from 1.1 to 1.5. To find the total repayable, multiply the advance amount by the factor rate. (e.g., £10,000 × 1.5 = £15,000 total repayable).
At Alpha Funding, we believe business loans should be priced fairly and transparently. Since much of SME lending is unregulated, providers aren't always obliged to disclose comparable rates, making it difficult for businesses to compare quotes effectively.
We created this rate comparison tool to offer much-needed clarity. By revealing the true cost of finance, we ensure business owners like you can make the best funding decisions for your company's growth without hidden surprises.
Our rate comparison tool uses a bespoke algorithm that automatically converts your business loan quote into a range of other common rate types. This allows you to compare apples to apples, even if lenders present their costs differently.
Input your loan amount, term, rate, and any fees, and we'll break down exactly what that means in terms of Annual Rate, Yield, Daily Interest, and total payable amount.
Important Information
- Estimates Only: This tool provides an estimate of the cost of a loan and doesn’t take specific lending criteria of various lenders into account.
- Personal Circumstances: Results are based solely on the information provided and don’t account for your specific business history or credit score.
- Eligibility: This tool is not a measure of your eligibility for a loan, just the estimated cost. You will still need to meet the lending criteria of your chosen lender(s).
- Payment Assumption: Calculations assume payments will be the same each month (standard for most business finance).
- Fee Assumption: We assume all arrangement fees will be absorbed into (added to) your loan principal.
- Rate Stability: This tool assumes rates won’t change for the duration of the loan.
- Seek Advice: We recommend taking advice from a licensed finance professional before making major financial decisions.
Alpha Funding is a trading name of ALPHA FUNDING LIMITED, registered in England and Wales.