Usually, if you're using the Business Loan EMI Calculator, you must be well-acquainted with terms like Loan Tenure, Loan Amount, EMI, and Rate of Interest. To help you out in understanding these terms, we'll discuss them in the section ahead.
The loan amount is the sum of money that you're intending to get approved from the financial institution. You can come up with a loan amount after analysing your financial requirements.
It is the percentage of interest charged by the financial institution depending on the approved loan amount. Though the final interest rate depends on the financial institution, it generally starts at 11.5%.
The time duration for which the loan applicant will be paying back the loan through instalments is called the Loan Tenure. Generally, the business loan tenure may range from 12 to 72 months.
It is the amount that has to be paid by the borrower every month for the decided loan tenure.
Planning repayment is very crucial before applying for a business loan. You must go through a deep analysis of various aspects involved in a business loan, use them in the EMI calculator, and get clear on your strategy for repayment.