Mark IT Solutions
Free Business Tool

EMI Calculator

Calculate EMI for business loans, term loans, and working capital. View total interest and payment breakup.

Enter Loan Details

₹10,00,000
₹1L ₹5Cr
12%
6% 30%
36 months
6 months 7 years

Or enter values manually:

EMI Calculation

Monthly EMI

₹33,214

Principal Amount ₹10,00,000
Total Interest ₹1,95,696
Total Payment ₹11,95,696

Payment Breakup

Principal (84%)
Interest (16%)

You will pay ₹33,214 monthly for 36 months. Total interest paid will be ₹1,95,696 (16% of loan amount).

Guide

How EMI is Calculated

EMI Formula

EMI = P × r × (1 + r)n / ((1 + r)n - 1)

  • P = Principal loan amount
  • r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
  • n = Loan tenure in months

Factors Affecting EMI

1

Loan Amount

Higher principal = Higher EMI

2

Interest Rate

Higher rate = Higher EMI & total interest

3

Loan Tenure

Longer tenure = Lower EMI but higher total interest

FAQ

Frequently Asked Questions

EMI uses the formula: EMI = P × r × (1 + r)^n / ((1 + r)^n - 1), where P is principal, r is monthly rate, and n is tenure in months. This gives the fixed monthly payment including principal and interest.

Business loan rates range from 10-24% p.a. Banks offer 10-16% while NBFCs charge 14-24%. Secured loans have lower rates than unsecured loans.

Longer tenure = lower EMI but more total interest. Shorter tenure = higher EMI but less interest. Choose based on cash flow comfort.

Yes, prepaying reduces principal and lowers interest. Some lenders charge 2-4% prepayment penalty, so check your loan terms.

Yes, interest on business loans is a deductible expense. It reduces taxable business income, effectively lowering your tax liability.

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