Pre-filled with typical Retail figures: 12 employees, £25,000 average salary. Adjust the sliders for your actual numbers.

Business Loan Calculator

Calculate monthly repayments and total interest cost for a business loan. Compare different amounts, rates, and terms to find the right financing.

£5k£150,000£500k
2%8%25%
1yr5 years10yr

Monthly Repayment

£3,041

per month for 5 years at 8%

Total repaid£182,488
Total interest£32,488
Interest as % of loan21.7%

Daily Cost of Borrowing

£18 /day

Retail — Key Concerns

  • VAT threshold changes could force registration for smaller independent retailers
  • Business rates reform creates winners and losers — check if you qualify for lower multiplier
  • Online retail faces higher rates multiplier under reform proposals

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Frequently Asked Questions

What interest rates can I get on a business loan?
Rates vary from 3-5% for established businesses with strong financials to 15-25% for startups or higher-risk borrowers. The Bank of England base rate (4.5%) influences all rates.
Fixed or variable rate — which is better?
Fixed rates give certainty on repayments. Variable rates are often lower initially but can increase with the base rate. In a high-rate environment, locking in a fixed rate may be wise.
What security do lenders require?
Most business loans over £25,000 require some form of security — personal guarantees, business assets, or property. Unsecured loans are available but at higher rates.