Free Business Loan EMI Calculator

Your EMI is the fixed monthly payment that covers both principal and interest until the loan is repaid. This calculator gives you the exact EMI, total interest and total repayment for any business loan — plus a visual split of how much of your payments go to interest versus principal.

Loan tenure

Results

Monthly EMI$11,122.22
Total interest$167,333.43
Total repayment$667,333.43
Tenure60 months

Principal vs interest

  • Principal74.9%
  • Total interest25.1%

Disclaimer: This calculator provides estimates only and does not constitute financial advice. Actual loan terms may vary by lender.

About the Business Loan EMI Calculator

How EMI is calculated

EMI = [P × R × (1+R)^N] / [(1+R)^N − 1], where P is the principal, R is the monthly interest rate (annual rate ÷ 12 ÷ 100) and N is the tenure in months. Every EMI is identical, but the split between principal and interest shifts across the tenure.

Front-loaded interest — the hidden cost

In the first months of a loan, 70–80% of each EMI is interest. Only in the second half of the tenure does the principal component overtake interest. That's why part-prepayment in the early years saves dramatically more than the same prepayment near the end.

Choosing tenure

Longer tenure → lower EMI but much higher total interest. Shorter tenure → higher EMI but far less interest paid. Pick the shortest tenure your monthly cash flow can comfortably absorb.

Frequently asked questions

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