Business Calculators

Business Debt Consolidation Calculator

Should your business consolidate its debt? Use this calculator to find out.

Inputs
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Estimates only. Adjust any value to recalculate instantly.

Results
Interest you could save $10,533 new payment $1,660.67/mo
New monthly payment $1,660.67
New total interest $19,640
Current total interest $30,173
Cash flow freed / month $539.33
Total interest compared
Total interest compared Consolidated: $20kCurrent debts: $30k
  • Consolidated $20k
  • Current debts $30k
Loan balance Consolidated balance
Loan balance: Consolidated balance $67k$50k$33k$17k$0 Yr 1Yr 2Yr 3Yr 4Yr 5

Consolidating saves about $10,533 in interest and frees $539.33 of monthly cash flow — valuable working capital for a business.

Consolidated loan amortizationView table
YearPrincipalInterestBalance
1$13,266$6,662$66,734
2$14,511$5,417$52,223
3$15,872$4,056$36,351
4$17,361$2,567$18,990
5$18,990$938$0

How the business debt consolidation calculator works

It compares paying your current business debts at their existing payment against a single consolidation loan, showing the new payment, the interest saved, and how much monthly cash flow the move frees up.

Worked example

Worked example: with total business debt of $80,000, current average rate of 16.00% and current monthly payment of $2,200, the business debt consolidation calculator shows interest you could save of $10,533.

New monthly payment
$1,660.67
New total interest
$19,640
Current total interest
$30,173
Cash flow freed / month
$539.33

The formula

Current debts are paid down at your existing payment; the consolidation loan amortizes at its rate and term. The tool compares total interest and the change in monthly payment.

Results are estimates for educational purposes and are not financial advice. Confirm exact figures with your lender, plan administrator or advisor.

Frequently asked

Questions about the business debt consolidation calculator

Why consolidate business debt?

To lower the rate, simplify several payments into one, and free up monthly cash flow — working capital a business can reinvest. The calculator shows the interest saved and cash freed.

Does a longer term help or hurt?

It lowers the payment but can raise total interest. For a business, the cash-flow relief may justify that, but always check the total-interest figure.

What qualifies for business debt consolidation?

Typically credit lines, equipment loans, merchant cash advances and high-rate short-term debt. Replacing expensive financing with a lower-rate term loan is the usual win.

Is the Business Debt Consolidation Calculator free to use?

Yes. Every calculator on FinCalculators is completely free, with no sign-up, login or paywall. You can run as many scenarios as you like.