Urban Money

IDBI Business Loan Calculator

  • 50 K
  • 1 Cr
Years
  • 1
  • 5
%
  • 8
  • 25

Monthly Loan EMI

Payment Breakdown:

Principal Amount

₹15,00,000

Interest Payable

Total Amount Payable

IDBI, or Industrial Development Bank of India, is a fast-growing financial institution offering many business loan products and services aimed at self-employed professionals, MSMEs, and various business start-ups and ventures. The interest rates are competitive, ranging from 8.05% to 13.45% per annum. Customers have the provision to get a business loan amounting up to 5 crores. With this much monetary capital being deployed as debt funds, it is highly recommended that interested borrowers consider using the IDBI business loan interest rate calculator.

There are many benefits associated with using the online AI-powered tool, which enables efficient and effortless computation of recurring interest payments that the borrower needs to adhere to. 

This piece is an ultimate guide for anyone interested in using the IDBI business loan EMI calculator online.

Features of IDBI Bank Business EMI Loan Calculator

IDBI Business Loan interest rate calculator comes with an array of features to facilitate an efficient commencement of loan EMI computation. This not only allows users to get an accurate estimation of how their recurring expenses will look in the future but also gives the figures efficiently in real-time, thereby saving valuable time and effort. All those companies or individuals who are considering a business loan can make use of this free and easy online tool for their much-needed financial planning. Here are some exclusive features of the IDBI bank business loan EMI calculator.

  • Hassle-free computation
  • Accurate estimation of results 
  • Data interpretation in real-time
  • Helps you save your time and effort with complex calculations
  • User-friendly interface enabling one to manipulate data in a straightforward manner 
  • Offers unlimited usage experience

These features of the IDBI Business Loan EMI calculator makes its user-experience convenient.

Benefits of Calculating IDBI Business Loan Online

With all the IDBI business loan calculator features, the benefits and advantages are not far-fetched. Users can enjoy the AI-driven state-of-the-art computation tool with a myriad of benefits attached to it. To start with a few, we can say that the IDBI business loan calculator is error-free, simple to use, and fast. As a growing business, time and accuracy are of utmost importance. And with an AI-backed calculator, there isn’t much that can go wrong.

Furthermore, it helps businesses understand the estimated amount of capital they can receive, which can prove beneficial in planning in advance. So here are some pointers about the benefits of calculating the IDBI business loan online.

  • Error-free Results - An online AI-based IDBI business loan calculator can produce consistent results without any mistakes. Although these computations can be done manually, they can still go wrong. Use the IDBI loan calculator online to get the highest accuracy. 
  • Helps in anticipating the expenses - One of the major perks of using an online business loan calculator, IDBI, is that it clarifies your recurring expenses. This can assist you in determining whether or not you can afford an IDBI business loan
  • Real-time delivery - The online IDBI business loan calculator is designed to allow users to get results in real time. The calculation simultaneously follows the user’s figure adjustment, saving time and effort.
  • Unlimited usage - A user can exploit the benefits of the online calculator by using the tool as many times as they need. It can also be used as a comparative tool where one can cross reference several figures simultaneously. 

IDBI Bank Business Loan EMI Calculator Formula

IDBI Business Loan Interest Rate Calculator incorporates a basic foolproof formula for calculating business Loans, thereby reducing the hassle for applicants to a great extent. The idea is that it takes information such as loan amount, loan tenure, and interest rate for assessing the complete interest instalment structure. You may use this hypothetical figure generated by the IDBI business loan interest rate calculator and cross-reference it with a few factors such as your desired loan amount, your current profession, your gross annual income, your current city of residence, and so on. These factors also affect the amount that you may receive.

The mathematical formula used for calculating the interest rate in the business loan EMI is described below:

P x R ( 1 + R ) ^ N / ( 1 + R ) ^ N ) - 1 )

Here,

  • P is the principal loan amount. 
  • R is the Rate of interest 
  • N is the duration. 

For a simple example, you may get up to INR 10,00,000, with an average interest rate of 12.25% per annum for a maturity period of up to 60 months. There will be an additional processing fee of up to 0.5%, which will be applied to the borrowed loan amount.  

Things To Consider While Calculating IDBI Business Loan

There can be several reasons why a company would require financial assistance. This could be for expansion, to meet payroll funding demands, purchase assets, and much more. Now there are merely two options a business owner can go for. It is either equity or debt. A business loan is companies' and startup's most common debt financing option. With financial tools such as business loan calculators, users will benefit from thorough planning to avoid any wrong financial decisions. Here are a few things to consider while calculating IDBI business loans online.

  • Thoroughly analyse your lender. This is to ensure that your lender does not have a bad reputation in terms of service and that there is no scope for fraud and scams. It would be good if you could check the registration certificate of the financial institution with the RBI. 
  • There are various kinds of business loans. Assess the one that suits your needs best. 
  • Determine whether or not you should consider a secured loan. If you need to attach collateral with your loan, you should look for a secured loan. This has scope for more disbursement of the loan amount. 
  • Thoroughly review the repayment policies with the bank. 
  • Research the interest rates offered by a few banks for comparative reasons. 
  • Determine how much duration you should be considering. 
  • Calculate the monthly interest expense. It should be the case that one can pay the interest. If this is not the case, the business should either refrain from lending or settle for a lesser amount. 
  • The loan should never be a burden on your financial capacity. 

Business Loan Amortisation Calculator

The business loan calculator for IDBI Bank has the facility of showcasing how the EMI is structured. The IDBI business loan amortisation calculator assumes that the interest rate is 12.25% for an investment of INR 15,00,000. The tenure is set for ten years.

Year EMI Interest Paid Principle Paid Outstanding Balance
2022 21737.98 60853.75 26098.17 2521605.68
2023 21737.98 175887.31 84968.45 2260749.92
2024 21737.98 164873.92 95981.84 1999894.16
2025 21737.98 152433 108422.76 1739038.4
2026 21737.98 138379.53 122476.23 1478182.64
2027 21737.98 122504.49 138351.27 1217326.88
2028 21737.98 104571.74 156284.02 956471.12
2029 21737.98 84314.61 176541.15 695615.36
2030 21737.98 61431.84 199423.92 434759.6
2031 21737.98 35583.03 225272.73 173903.84
2032 21737.98 7724.33 166179.51 0

A Quick Way to Get a Business Loan From IDBI Bank

IDBI Bank offers financial assistance to small businesses and MSMEs and a one-stop service solution to these banks' various needs. Getting their financial products and services is easy and hassle-free. A customer seeking financial assistance from IDBI Bank gets a result-oriented banking experience and a faster loan disbursement. Here are some pointers on how to get the business loan sanctioned from IDBI Bank.

Frequently Asked Questions (FAQs)

What is the rate of interest of a business loan in IDBI Bank?

The minimum rate of interest offered by IDBI Bank for a business loan is 12.25%.

Can I get a business loan of 10 lakhs?

IDBI offers a maximum business loan of up to INR 10,00,000 for 60 months. The minimum interest that will be charged is 12.25% per annum.

How is a business loan calculated?

IDBI business loan interest rate calculator is an easy and efficient way to calculate the IDBI business loan. The online tool uses a generic mathematical formula programmed into its algorithm. The tool takes in user inputs on the loan amount, tenure, and interest rate.

How much business loan can I get on Rs. 20,000 salary?

The minimum general required for getting a business loan is INR 1,50,000 annual turnover. With revenue of INR 20,000 per month, you can get a maximum of INR 10,00,000 as a business loan.