Business Debt Payoff Calculator

Calculate how long it will take to pay off your debt and see potential savings with consolidation

Enter Your Debt Information

Don't know? Use 15% for credit cards, 8% for SBA loans, 40% for MCAs

How This Calculator Works

This calculator uses standard loan amortization formulas to determine how long it will take to pay off your debt at your current payment rate. It then compares your current situation to a consolidated loan at 7% APR to show potential savings.

Understanding Your Results

What the Numbers Mean

  • Payoff Time: How many months (and years) it will take to completely pay off your debt at your current payment rate
  • Total Interest Paid: The amount you'll pay in interest charges over the life of the debt
  • Total Amount Paid: Your principal debt + all interest charges

Why Consolidation Can Save Money

Debt consolidation works by replacing high-interest debts with a lower-interest loan. Even a few percentage points can save thousands in interest. For example:

  • Business credit cards often charge 18-25% APR
  • Merchant cash advances can be 40-200%+ APR equivalent
  • Consolidation loans typically offer 7-15% APR for qualified businesses

Our calculator assumes a 7% consolidation rate, which is achievable with good credit and an SBA 7(a) loan or traditional bank loan.

Important Considerations

This Calculator is an Estimate

Actual results will vary based on:

  • Your actual interest rates (this uses an average)
  • Fees associated with new loans
  • Your ability to qualify for consolidation
  • Changes in payment amounts over time

Next Steps

If Consolidation Looks Promising

Get a personalized debt assessment to see what consolidation options you qualify for:

Get Free Assessment

Learn More About Solutions

Frequently Asked Questions

Is this calculator accurate? +

This calculator uses standard financial formulas for loan amortization. It provides a good estimate, but your actual payoff time and interest will depend on your specific loan terms, fees, and any changes to your payment amounts. For a precise analysis, request a free debt assessment.

What if I have multiple debts with different interest rates? +

Calculate a weighted average interest rate: Add up all your total interest charges for one year, divide by your total debt balance, and multiply by 100. Or, enter your highest interest rate for a more conservative estimate.

What if my payment is too low? +

If your monthly payment is less than the monthly interest accrual, you'll never pay off the debt. The calculator will alert you to this. You'll need to either increase your payment or explore debt relief options like settlement or bankruptcy.

Can I really get a 7% consolidation loan? +

7% is achievable with: 1) Good personal credit (700+), 2) Profitable business with 2+ years history, 3) SBA 7(a) loan or traditional bank loan, and 4) Collateral or strong financials. If your credit is fair or poor, expect 10-25% rates. Use our debt assessment tool to see what you likely qualify for.