Money! The single term which everyone understands. No matter who you are, you will understand it. And the way a business owner sees and understands money is far superior as compared to a normal person and there is a reason for this. A business owner has to make money to keep his company moving. But this does not happen all the time.

Every business has to face some difficult time when they are short of cash in their banks. This can happen due to huge credit terms offered by the company to make sales or due to some external changes suddenly occurred in the market which causes sales to drop or making their client go bankrupt and many more. So at that point, what does business can do to support itself?

The business can go for a business loan calculators. Business loans are the product offered by the financial industry to businesses only. As the name implies, it is a debt given to businesses only so that they can cover their immediate expenses and sustain for that fiscal year. But the decision of going for a business loan is not to be taken in isolation.

You see, taking a loan is not as simple as it may sounds, especially if we are talking about business loans. There is always a cost involved in taking a business loan. But many business owners neglect that and end up paying a huge cost for the loan. However, nowadays, with the advent of technology in the financial industry, we have calculators that can help you find out the cost of borrowing money. Yes, all you have to do is go online, open Google and type “Short Term Business Loan Calculator”. You will land on an online calculator which will help you not only find out the total cost of borrowing but also help you know if you are eligible for the loan or not?

But why does the loan calculator is important for a business? Well, they are very important for you as a business owner or as a financial manager or CFO of a company. Let us see in detail that how can a loan calculator be important for your company?


Technology has played a significant role in improving businesses. One such technological innovation is a loan calculator. As a business owner or as a finance person of your company, you must know the following:

Importance # 1: Simplify the repayment.

The most important function of the loan calculator is to communicate clearly how much a borrower has to pay back on a weekly or monthly basis. This makes the repayments easy as you will be able to see how much money you can borrow depending upon repayments. Otherwise, in the traditional era, you had to wait for your borrower to tell you how much you have to pay him back either monthly or weekly.  But thanks to the technology that has offered calculators that are assisting businesses. So with the calculator, you can see that in seconds and decide, whether you should go for the loan or not.

Importance # 2: Real-time effect of interest rates.

Interest rates are one of the most important financial terms which impact on loan cost for a business owner. When you are going for repayments, a certain portion of it contains interest payment. This means that if you paid $100/- as a monthly payment, these hundred dollars contain an interest payment too. And when you pay off all the loan, you will see that you have paid more than you have borrowed. So, the loan calculator will let you see in real-time the impact of interest rates on your monthly loan repayment and will let you decide which interest rate will suit you.And you can pay the installments easily every month.

Importance # 3: Can be calculated anywhere.

Can you imagine finding the answers to questions which you did not know in a few seconds a decade ago? Well, technology and the internet made it possible for everyone now. This thing came into the finance industry as well. With fintech, a normal business owner can use the fintech solutions to see whether he should go for the product or not. This also includes the loan calculator. With fintech, loan calculators are now inside the pocket of every business owner. All theyhave to do is take out the phone and open the calculator to see whether this loan and lender will be a great choice for them or not.

Importance # 4: Impact of time for repayment.

Talking about repayment, when you take a loan, you have to decide when you are going to give all the borrowed money back. Most of the business owners do not know if there is an impact of repayment time on monthly repayments. Hence they sometimes borrow money for a shorter period. But with the help of a loan calculator, you can see the impact of time on your repayment amount. Like if you have taken a loan for a shorter period, you will have to pay more amount at the end of every month however for a more extended period, you will have to pay a shorter amount. This thing can be evident by the loan calculator.

Importance # 5: Hunting lenders.

Every lender has its terms and conditions, and you do not want to get trapped with someone who costs you over your financial burden. Right? But how you can find which one is great for you? Well, you can use a fintech called loan calculator. This lets you see how much amount you will have to pay back every month beforehand. All you have to do is enter the amount borrowed, and interest rates offered and time to pay back the loan. The loan calculator will make a sheet called amortization of the loan, which will describe you perfectly how much money you have to give back. By this way, you can see and evaluate which lender can be a great choice for you and what should be your terms and conditions for borrowing the loan too.


Everyone in the world needs money to survive; hence a business is not left alone or different. It also requires money to survive, but due to any kind of changes in the external or internal environment, a business can go short in cash. For that, they have the option to raise debt for the business. But this is not easy to just raise the debt. Every debt comes with some cost, and if a borrower ignores the cost, they can go on the verge of bankruptcy and losing everything which they possess.

That is where fintech comes in, and you have a loan calculator. This is a calculator that helps you estimate the cost and repayment. The best part is you can use customization and see which terms and conditions best suit you. But remember this, taking a loan is not children play. You have to keep in mind both external and internal factors as well. So evaluate everything before making any decision. Make borrowing choices wisely. So, you can perform better as compared to other businesses.