The monthly payment on a $50,000 business loan depends mainly on:
- Interest rate (APR)
- Loan term (length in months/years)
- Type of loan (term loan, SBA, line of credit, etc.)
Here are some examples for a standard term loan:
| Loan Term | Interest Rate | Approx. Monthly Payment |
|---|---|---|
| 3 years (36 mo) | 8% | ~$1,567 |
| 5 years (60 mo) | 8% | ~$1,013 |
| 7 years (84 mo) | 8% | ~$781 |
| 10 years (120 mo) | 8% | ~$606 |
👉 As you can see, shorter terms = higher monthly payments but less interest overall.
👉 Longer terms = lower monthly payments but more total interest paid.
⚡ Quick rule of thumb: For every $10,000 borrowed, expect $200–$250/month in payments on a 5–7 year loan at typical small business rates.
Related
How does a commercial loan work?