Calculate EMI and total cost for business loans. Compare working capital loans vs term loans, secured vs unsecured, and understand true cost of business financing.
WC
Working Capital
TL
Term Loan
Business Loan Calculator
Business loans can be working capital (revolving, short-term) or term loans (long-term, for capex). Interest rates differ based on security, business vintage, turnover and credit score.
Loan Type
Collateral
Loan Amount (₹) ₹25,00,000
₹50K₹5 Cr
Interest Rate (% p.a.) 12%
9%28%
Loan Tenure 5 Years
Processing Fee (%) 1.5%
💡 Term Loan: Fixed monthly EMIs over agreed tenure. Best for capital expenditure (machinery, equipment, expansion). Banks typically finance up to 70%–80% of project cost.
Working Capital vs Term Loan
Working Capital Loan
Short-term financing to fund day-to-day business operations — purchasing inventory, paying salaries, covering receivables gap. Available as Cash Credit (CC), Overdraft (OD), or Bill Discounting. Interest charged only on amount utilised (for CC/OD). Tenure: 1–3 years, renewable.
Term Loan
Long-term financing for specific purpose — buying machinery, building construction, vehicle purchase, or business expansion. Fixed repayment schedule with equal monthly installments. Tenure: 3–10 years. Collateral generally required above ₹25L.