SME Loan EMI Calculator

The SME Loan EMI calculator enables you to understand the monthly repayment amounts based on the loan amount, tenure and interest rate. Understanding repayment obligations is crucial for effective financial planning for businesses, especially small and medium enterprises. Tools like the SME Loan calculator ensure that you choose the right loan structure without overburdening your cash flow.

emi-calculator

Calculate your EMI on SME Loan

Information

Estimate your SME Loan EMIs in a few simple steps

Preferred loan amount

7,00,000
75,00,000

Interest rate (per annum)

%
15.50%
21.50%

Loan tenure (months)

12 months
60 months

Estimated EMI

per month
  • 63,346
  • Interest payable

    60,153

View Amortisation Schedule

An amortisation schedule provides details like loan tenure, EMI / EPI amount, and principal & interest proportion of each instalment. However, it is an estimate and actual values may vary upon loan disbursement.

SME Amortisation Schedule

EMI Nos Opening Principal EMI Interest Principal Repayment Closing Principal
1 7,00,000 63,346 9,042 54,304 6,45,696
2 6,45,696 63,346 8,340 55,006 5,90,690
3 5,90,690 63,346 7,630 55,716 5,34,973
4 5,34,973 63,346 6,910 56,436 4,78,537
5 4,78,537 63,346 6,181 57,165 4,21,372
6 4,21,372 63,346 5,443 57,903 3,63,469
7 3,63,469 63,346 4,695 58,651 3,04,818
8 3,04,818 63,346 3,937 59,409 2,45,409
9 2,45,409 63,346 3,170 60,176 1,85,233
10 1,85,233 63,346 2,393 60,954 1,24,279
11 1,24,279 63,346 1,605 61,741 62,538
12 62,538 63,346 808 62,538 0

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How is SME Loan EMI Calculated?

The EMI for an SME Loan is calculated using a standard formula that considers the loan amount, interest rate, and repayment tenure.

EMI Calculation Formula

EMI = P x R x (1+R)^N / [(1+R)^N-1]

Where:

P = Principal loan amount
r = Monthly interest rate (annual rate divided by 12)
n = Loan tenure in months

How Loan Factors Affect EMI

  • Interest Rate: A higher interest rate increases the monthly EMI amount.
  • Loan Tenure: A longer tenure reduces the EMI amount but increases the total interest paid over time.
  • Principal Amount: Higher loan amounts directly result in larger EMIs.

Benefits of SME Loan Calculator

Using an SME Loan calculator offers multiple advantages:

1. Financial Planning

Helps you budget effectively by understanding the repayment obligations upfront.

2. Comparison of Loan Options

Evaluate different loan amounts, tenures, and interest rates to choose the best fit for your business.

3. Time Efficiency

Eliminates the need for manual calculations, providing instant results.

The SME Loan calculator empowers businesses with clarity, enabling better decision-making.

Factors that Affect SME Loan EMI

Several factors influence the EMI amount for SME Loans:

1. Loan Amount

A higher loan principal leads to proportionally larger EMIs.

2. Interest Rate

A lower interest rate calculator value decreases the monthly repayment amount.

3. Loan Tenure

A longer tenure reduces EMI but increases the overall interest payable.

4. Early Repayment and Prepayment

Prepaying a portion of the loan reduces the outstanding balance, lowering subsequent EMIs.

Understanding these factors ensures borrowers can optimise their loan terms and reduce repayment stress.

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FAQs & Support

View all

Does an MSME need to be registered to be eligible for an MSME Loan?

Yes, registration is required to qualify for MSME-specific loan benefits.

How much loan can an MSME/Business get?

business's and MSMEs can get a loan of up to ₹ 75 Lakh with L&T Finance.

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