Estimate only. Add lender fees and check the contract.
How to use the estimate
Use the exact figures from the written quote. Add charges the calculator does not include and check results against the lender's repayment schedule.
Decision rule
A calculator measures cost, not suitability or approval. Test the repayment against a downside cash-flow case before borrowing.
Move from an estimate to the lender schedule
Use calculator results to challenge a quote, then compare them with the provider's dated repayment schedule. Differences can come from fees deducted before drawdown, day-count conventions, irregular first periods, rate floors, balloon payments or rounding. Resolve the cause rather than assuming either figure is correct.
Save the inputs with the output and mark which figures are contractual. A useful model can be reproduced by another director or adviser after the benchmark changes. It should not rely on a promotional rate whose expiry date has disappeared from the decision record.
Run a base case and a cash-flow stress
Calculate the payment at the quoted rate and again with a two-point increase where the rate can float. Place both results in the company's monthly forecast beside tax, rent, payroll, supplier commitments and existing debt. Affordability depends on the combined cash demand rather than the new payment in isolation.
For invoice or revenue-linked finance, test slower customer payment, returns and weaker sales. For a long term loan, test early settlement and total interest. The best structure is the one the business can explain and service under a credible downside case.
Rates, limits and eligibility can change. Ask for a current written quote, repayment schedule and agreement. General information only.