See if you qualify for your commercial business loan.
We value the overall health of your business, not just your credit score.
This helps us work out the most benefitial options for you, regardless of your business history.
Time in Business
We evaluate how long you’ve been in business and repayment history.
We look at your annual revenue and review your daily balances.
Don’t worry, your credit score or defaults won’t be the deciding factor
What is a commercial business loan?
Commercial loans might assist you in taking your company to the next level. They can help your business and capital grow significantly. Each step of the way, it’s critical to grasp the terms of how they work and how they affect your business.
A commercial loan is a lump sum payment with a set repayment period, similar to a typical loan. You’ll be able to pay it off more faster because it’s a shortened version of a loan.
How to use our commercial loan payment calculator
When looking for the perfect loan for your business, it’s crucial to do your homework. It’s critical to think about the best financing options, interest rates, and contract terms.
When applying for a business loan, there are a few things to think about and add up. They are as follows:
- Loan Amount
- Loan Term
- Interest Rates
To figure out your monthly or weekly payments, as well as the overall cost of your loan over time, use the following formula:
- To begin, enter the loan amount you desire.
- Next, calculate your interest rate.
- Select a loan term that corresponds to your repayment schedule.
- Decide on a payment schedule. Commercial loans are riskier than typical loans, so keep that in mind.
- Finally, add up all of the variables and compute the impact of your repayment schedule.
Recognize your outcomes
The computed results show the total repayment, the cost of the loan, and the weekly or monthly payment.
When you calculate your commercial loan results, you’ll see a breakdown that includes the entire loan amount, monthly payment, and repayment amount.
Here’s what the figures reveal:
- Total cost of loan: The total amount you’ll pay back to your lender, including interest and fees. Subtract the loan’s original balance from the total repayment amount to arrive at this figure.
- Monthly installments: The monthly installments you’ll pay. Create a spreadsheet in a tool like Excel to figure out how you’ll pay each month. You may also calculate the interest and principal from there.
- Repayment Amount: This total cost indicates how much you’ll owe your lender at the end of the loan term.
Total Loan Amount – Total Repayment Amount = Loan Cost
It’s simple to compare loan possibilities with this information, whether you’re comparing lenders or deciding between a 12- or 18-month term.
We lay down the variations in your options, whether it’s a 12-month or 18-month term, to ensure you’re getting the best bargain available.
Our commercial loan calculator can provide you an exact estimate of your financial costs. Borrowers are concerned about being able to make timely payments. Payment is necessary, but it is only one part of the picture.
Working Out the Costs
You might be concerned about the prices of financing your commercial real estate transaction after playing around with the commercial mortgage calculator and crunching the numbers. While a lender’s costs may be fixed in stone and impossible to change, there are certain strategies to reduce the amount of interest you pay.
- Principal Reduction
- Boost Your Credit Score
- With most financial options, this stage is critical.
Pros and cons of commercial loan financing
You can start determining your financing alternatives once you understand how to compute the interest on a commercial loan. Commercial finance has both advantages and disadvantages. It can be paid off faster than the ordinary loan, but it comes with its own set of hazards.
Let’s make a comparison.
- Obtaining funds quickly
- There is little to no paperwork involved, and monies are available the same day!
- Qualifications are simple.
To qualify, you don’t need to have been in company for two years or have a perfect credit score.
Capital at a low price
Short-term loans have higher interest rates, but interest is accumulated over a shorter period of time.
- Interest rates that are higher
- The majority of short-term loans start at 10%, but depending on the size of the company, they might go much higher.
- Payments that are made often
- These payments are normally made once a week or once a month.
- Payments that are higher
The combination of high interest and frequent payments could be troublesome in the long run.
We encourage that you experiment with different scenarios with factor rates, terms, and advance amounts, whether you have specific numbers in mind or are unsure where to start. This can assist you in determining what you can and cannot afford, as well as determining the best plan for you.
Comparing and evaluating commercial business loan offers
Comparing the terms of each loan offer will help you decide which is the best option for you if you have more than one loan offer on the table.
Here are some pointers to help you choose the best offer for you:
Think about how much each lender is willing to provide you. Examine APRs for reduced rates.
Look into the different repayment terms. Choose a timeframe that is most convenient for you and your company. Consider the particulars.
Above all, be sure your company is financially sound enough to take out a commercial business loan. Make a plan for your future success.
How to qualify for a commercial business loan
Accessing funding for your business is now easier than ever. With online technology, funders can now easily underwrite a business with minimal paperwork and documentation required.
Here’s what you’ll need to qualify:
- 3+ months in business
- $110K+ annual revenue
- 550+ credit score
Got some questions?
Commercial loan financing is an arrangement between a business and a financial institution (a lender or a bank), commercial loan financing funds major capital to companies looking for direct access to funds.
These loans usually require collateral upfront and are considered short-term loans.
Unlike traditional loans, the full amount of commercial loans aren’t received up front. When coming upon your term agreements, your lender will create a schedule for when you can access your funds at certain times.
You will only pay interest on the funds that you receive, not the loan in its entirety.
A commercial loan can open doors for your business that never thought possible.
These loans can be used for equipment, real estate, and inventory purchases.
Partnering with NYTG for commercial loan financing can help your business sore to new heights. We want to ensure that you’re getting the best for your worth.
A helpful tip: research your options to find the best one for you. In addition, have a solid blueprint of how you plan to use the commercial loan for your business. It’ll make things easier in the long run.
Different lenders mean different qualifications. At New York Tribeca Group, we prefer that your business be in good standing. A healthier business gives you a better success rate.
Having a good credit score is a major key but it won’t be the make it or break it factor for your application.
A helpful tip: have a game plan ready to execute. It makes things easier for your business down the line.
We’ll provide you with the right information and best results possible.