Compare SBA loans, bank term loans, and merchant cash advances — true APR, monthly payment, total cost
What is this? Business loans look simple on paper but the real cost varies enormously. SBA loans have upfront guarantee fees, merchant cash advances charge huge effective rates, and "6%" bank loans often come with thousands in junk fees. This calculator reveals the TRUE cost — including fees, MCA holdbacks, and APR — so you can compare apples to apples.
Who it's for: Small business owners comparing financing offers, startups applying for SBA 7(a) loans, or anyone evaluating a merchant cash advance (MCA). If you've received multiple loan offers, use this to find out which one actually costs the least.
Your Loan Offer
SBA 7(a) note: SBA charges a 2% guarantee fee on loans over $150K (1% for loans $150K or less). Add this to "Additional Fees".
Compare to Another Offer (optional)
Business Impact
Break-even analysis: Shows how much monthly revenue you need to cover the loan payment, and what % of your revenue goes to loan costs.
Side-by-Side Comparison
Metric
Bank Term Loan
MCA
Loan 1 — Full Breakdown
Monthly Payment
—
True APR
—
Total Interest
—
All-In Cost
—
fees + interest
Break-Even Revenue
—
min monthly revenue
Revenue to Loan Cost
—
% of monthly revenue
⚠️ MCA Alert: Merchant cash advances have extremely high effective APR — often 60-150%+. The factor rate (e.g. 1.5) is NOT the same as interest rate. A 1.5 factor rate on 12 months is equivalent to ~80% APR. Be very cautious.
Loan 1 — Amortization Schedule
Year
Principal
Interest
Balance
Cum. Interest
Loan 2 — Amortization Schedule
Year
Principal
Interest
Balance
Cum. Interest
Looking for SBA financing? SmartBiz SBA Loans — 6.5-9% APR, pre-screened lenders. Funding Circle — 4.99-30.99% APR, bank alternative.