Often, borrowers who sign up for a Working Capital Loan do not take into account the total money that they are accountable to pay, including principal amount and interest, until it is time for their first EMI. In order to avoid any unaccounted for payments, it is best to calculate your entire liability in advance so that you can accordingly plan your business expenses and cash flows.
Why Should You Calculate Your Interest?
Enables you to keep track of how much you are paying: If you calculate and keep track of your monthly EMIs, there is no confusion in your mind regarding how much money is being spent. Use a Business Loan EMI Calculator to make matters easier.
Lets you organize your company finances: Once you know how much amount has to be paid as EMIs, you can accordingly organize your finances to pay the amount and meet other expenses.
Potential borrowers can calculate it as an estimate for the future: Financial estimates for the future are extremely important. Calculating the estimated EMIs can help you decide on whether to take a loan or not.
Estimating the interest in advance can help you decide upon the loan amount: If you calculate the interest rates in advance you can decide the loan amount that is more affordable to you.
How Can You Calculate Your Interest?
If you’re applying for a business loan with Bajaj Finserv, you can easily calculate your interest rate using the online EMI calculator by following these steps.
Access the Business Loan EMI Calculator.
Select the loan amount: The loan amount is the overall amount or the principal that you seek to borrow for your purpose. This is the amount that you would have to repay and pay interest over. Your interest amount will depend upon this amount.
Select the tenor: Tenor can be defined as the period of which the loan is availed. This is the period of time over which you can make EMI payments over your loan. In the table, select the suitable tenor.
Select the interest rate: The interest rate is the percentage of the money that goes to the lender for offering you the loan service. The table would show you how much interest you would have to pay for various interest rates, with your loan amount being constant. This can help you get a rough estimate of how much money you would be paying your lender in the form of EMIs. The amount will differ based on the interest rate you select.
This can help you get a rough estimate of how much money you would be paying your lender in the form of EMIs. The amount will differ based on the interest rate you select.
You can now select a suitable business loan for your working capital needs at Bajaj Finserv. Here they offer nominal interest rates and a line of credit that could conveniently tackle the financial needs of your business.