How much does a business loan cost?

In this 1West guide, loan cost means every dollar you pay above the amount you borrow. It has four parts. The price is set as an interest rate (a yearly percentage on the balance) or a factor rate (a fixed multiplier, such as 1.30). Fees include origination, closing, draw, and late fees. The term decides how long interest builds. The payment schedule, monthly, weekly, or daily, changes how fast you repay and how high the effective annual rate is.

The single best summary number is the APR, the annual percentage rate including fees. The single best budgeting number is total repayment: what leaves your account from first payment to last. A fair comparison always looks at both, because a long, low APR loan can cost more dollars than a short loan with a higher rate.

These figures come from published sources ranking for business loan cost searches. They describe the market, not 1West offers.

Working capital loan interest rates are the widest band in small business lending. LendingTree reports about 3% to 56% APR depending on the lender and loan type, as of November 2026. The spread exists because "working capital" covers very different products: bank term loans, revolving lines of credit, invoice financing, and merchant cash advances priced with factor rates.

Byzfunder points out that the spread inside one category, such as a line of credit running from roughly 8% at a bank to over 20% online, can be wider than the gap between two different products. That is why comparing written offers matters more than any average. 1West lists unsecured working capital, which its website describes as financing approved based on cash flow with no assets or collateral required.

See working capital loan interest rates by product type

Enter an amount, the APR from an offer, a term, and any upfront fee. The small business loan calculator returns the monthly payment, total interest, total repaid, and an estimated APR that counts the fee. Every result is an estimate, not an offer.

Need the year by year balance table or a factor rate conversion? Open the full small business loan calculator or the factor rate to APR calculator.

On a five year amortizing loan of $100,000, the monthly payment is about $1,954 at 6.44% APR and about $2,112 at 9.74% APR, the two ends of the Q2 2026 bank loan range reported by NerdWallet. The same $100,000 over ten years drops to about $1,307 a month at 9.74%, but total interest roughly doubles. These are illustrations, not quotes.

See monthly payment examples from $50,000 to $1,000,000

1. Name the purpose and amount. Payroll gaps, equipment, and real estate call for different products and terms.
2. Check published ranges for that product so you know what a normal offer looks like.
3. Run the payment in the small business loan calculator at the low and high end of the range.
4. Test it against your bank statements. If the payment would strain a slow month, adjust the amount or term.
5. Gather documents. Applications through 1West generally need four months of business bank statements.
6. Compare written offers in the offer comparison worksheet, then decide.

1West helps small businesses find financing options, including unsecured working capital, commercial real estate financing, SBA loans, accounts receivable financing, lines of credit, and equipment financing. Its homepage invites businesses to choose an amount from $5,000 to $1 million or more. 1West says its Automated Business Lending Engine, ABLE, enables 24/7 applications and combines automation with expert guidance to help businesses compare options.

See the 1West facts page for listed amounts and requirements, or visit the official 1West website.