Calculate Your Business Loan EMI

Monthly Loan EMI
₹ 14,347
Fourteen Thousand Three Hundred And Forty Seven
Loan Amount
₹
One Lakh
1 Lac 5 Cr
Loan Tenure
Years
1 5
Rate Of Interest
%
8 25
Payment Breakdown:
Principal Amount
₹10,00,000
Interest Payable
₹7,21,651
Total Amount Payable
₹17,21,651

EMI Payment Schedule

Year Principal paid yearly
(A)		 Interest paid yearly
(B)		 Total Payment
(A + B)		 Balance Loan Paid
To Date

What is Business Loan EMI?

Business Loan EMI (Equated Monthly Installment) is the fixed monthly payment you make to repay your business loan. It includes both the principal loan amount and the interest charged by the lender. Calculating your EMI helps you plan your business finances and choose a loan amount and tenure that aligns with your cash flow.

How is Business Loan EMI Calculated?

Business Loan EMI is calculated using the following formula:

EMI = [P × r × (1 + r)^n] / [(1 + r)^n - 1]

Where:

  • P = Principal loan amount
  • r = Monthly interest rate (Annual rate ÷ 12)
  • n = Number of monthly installments (tenure in months)

Key Features of Business Loans at LoanFatafat

Fast Approval

Receive business loan approval within hours with minimal documentation and a streamlined digital process.

Competitive Interest Rates

Attractive interest rates starting from 10.5% per annum with flexible repayment options.

High Loan Amount

Avail business loans up to ₹10 crores based on your business turnover and credit profile.

Flexible Tenure

Choose repayment tenure up to 10 years to make your monthly EMIs manageable.

Transparent Pricing

No hidden fees or charges. Full transparency in loan terms and conditions.

Quick Disbursal

Funds disbursed to your account within 48-72 hours of approval for seamless business operations.

Business Loan Interest Rates Comparison

Loan Amount Interest Rate Range Processing Fee Max Tenure
₹5,00,000 - ₹25,00,000 10.5% - 12.5% Up to 2% 5 Years
₹25,00,001 - ₹50,00,000 10.7% - 13% Up to 1.5% 7 Years
₹50,00,001 - ₹1,00,00,000 11% - 13.5% Up to 1% 8 Years
₹1,00,00,001 - ₹10,00,00,000 11.5% - 14% Up to 0.8% 10 Years

Factors Affecting Your Business Loan EMI

1. Credit Score

A high credit score (750+) can secure lower interest rates, reducing your EMI. Lower scores may lead to higher rates or loan rejection.

2. Business Turnover

Consistent and high business turnover improves loan eligibility and allows for larger loan amounts with better rates.

3. Business Vintage

Lenders prefer businesses with at least 2-3 years of operation, as it indicates stability and repayment capacity.

4. Debt-to-Income Ratio

A lower debt-to-income ratio increases your chances of securing competitive rates and higher loan amounts.

5. Loan Tenure

Longer tenures reduce monthly EMIs but increase total interest paid. Shorter tenures increase EMIs but save on interest.

Tips to Reduce Your Business Loan EMI

1. Improve Your Credit Score

Pay existing loans and bills on time, reduce credit utilization, and clear outstanding debts to improve your score.

2. Compare Lenders

Evaluate interest rates, processing fees, and terms from multiple lenders to find the most cost-effective business loan.

3. Negotiate Rates

Leverage a strong business profile or high credit score to negotiate better interest rates with your lender.

4. Opt for Longer Tenure

Choose a longer tenure to reduce monthly EMIs, but be mindful of the higher total interest paid over time.

5. Make Prepayments

Use surplus business profits to prepay your loan, reducing the principal and EMI burden.

Ready to Apply for Your Business Loan?

Boost your business with competitive interest rates starting from 10.5% per annum. Apply now for instant approval and fast disbursal!

Apply Now - Get Instant Approval

Frequently Asked Questions

Get answers to common questions about business loans

A business loan is a loan provided by banks or NBFCs to finance business needs such as expansion, working capital, or equipment purchase. It may be secured or unsecured. You receive a lump-sum amount and repay it through fixed monthly installments (EMIs) over a tenure of up to 10 years. Interest rates depend on your business profile, credit score, and lender policies.

General eligibility criteria include:
  • Age: 21-65 years for business owners
  • Business Turnover: Minimum annual turnover of ₹10 lakhs
  • Business Vintage: At least 2 years in operation
  • Credit Score: Preferably 750+ for better rates
  • Valid KYC documents: PAN card, Aadhaar card, address proof, business registration, and financial statements
Requirements may vary by lender.

Loanfatafat.in offers instant approval within hours upon submitting all required documents. Funds are typically disbursed within 48-72 hours after verification, ensuring a quick and efficient process.

Required documents include:
  • Identity & Address Proof: Aadhaar Card, PAN Card, Voter ID/Passport/Driving License, and utility bills (not older than 3 months).
  • Business Documents: 2 years' ITR, 6 months' bank statements, business registration proof, GST registration, and financial statements.
  • Other Documents: Business plan, loan utilization details, and partnership deed (if applicable).
Documents are verified online for faster processing.

Yes, most lenders allow prepayment or foreclosure after a minimum period (typically 6-12 months). For floating-rate business loans, RBI mandates no prepayment penalties. Fixed-rate loans may incur a penalty (1-2% of outstanding amount). Confirm terms with your lender.

A CIBIL score of 750+ enhances your chances of loan approval and secures lower interest rates. Scores below 750 may result in higher rates or rejection. Loanfatafat.in provides a free CIBIL score check without affecting your credit rating.

Business loans may include processing fees (0.8-2% of loan amount), documentation fees, and GST on charges. Loanfatafat.in ensures transparency by detailing all fees upfront. Always review the loan agreement for clarity.