Aditya Birla Capital Udyog Plus Business Loan EMI Calculator

Aditya Birla Capital Udyog Plus Business Loan EMI calculator helps estimate your EMI easily, allowing better loan repayment planning. 

The EMI for a business loan is calculated using the following formula: 

EMI = P×r×(1+r)n(1+r)n−1

Where: 

• P: Principal loan amount

• r: Monthly interest rate (annual rate divided by 12)

• n: Loan tenure in months

This formula ensures that each EMI includes both principal repayment and the interest component. In the initial months, a larger portion of the EMI goes towards interest, while in the later stages, more of it is used to repay the principal. 

Example of EMI Calculation:

Suppose you want to take a ABCL Udyog Plus Business Loan of ₹10 Lakhs at an annual interest rate of 22% p.a. for a tenure of 36 months. In this case:

• Loan Amount (P): ₹10,00,000

• Annual Interest Rate: 22% p.a. (1.8333% per month. It’s equivalent to 0.01833 in decimals)

• Loan Tenure (n): 3 years (36 months)

Now, applying these values to the formula:

EMI = 10,00,000×0.01833×(1+0.01833)36(1+0.01833)36−1

EMI = 10,00,000×0.01833×1.92301.9230−1

EMI = 35,249.250.9230

EMI = ₹38,188.38

Thus, the EMI for a ₹10 Lakh loan at 22% p.a. for 3 years would be approximately ₹38,188.38 per month.

Calculating your EMIs with the Lendingkart Business Loan EMI Calculator is quick and hassle-free. Just follow these simple steps: 

1. Enter the business loan amount you want to apply for.

2. Provide the rate of interest offered by the lender.

3. Select your repayment tenure in months or years.

4. Click on the ‘Calculate’ button to get your EMI instantly.

5. Check the EMI details along with total interest and repayment amount.

Here are some key factors that can influence the EMI of your business loan from Aditya Birla Capital:

Loan Amount

Borrowing a higher loan amount will naturally increase your EMI, whereas choosing a smaller amount keeps your monthly repayment more manageable. 

Interest Rate

A higher rate of interest makes your EMI costlier, while a lower rate eases your repayment burden significantly over time.

Loan Tenure

Opting for a longer tenure reduces the EMI but increases the overall interest payable, whereas a shorter tenure raises EMI but lowers the total cost.

Repayment Capacity

Your income and repayment ability play a role, as lenders may adjust loan terms accordingly, which impacts your EMI.

Credit Score

Maintaining a strong credit score can help you secure lower business loan interest rates, directly bringing down the EMIs you need to pay.

Type of Interest Rate

With fixed rates, your EMIs remain steady, while floating rates may vary as market conditions change.

Processing Fees and Charges

Extra expenses such as processing fees and related charges can increase your overall repayment obligation. 

Prepayment and Foreclosure Options

Repaying early or closing the loan before schedule reduces costs but may attract additional charges or penalties.

Business Stability and Cash Flow

A financially sound business with steady cash flow often receives better loan terms, which can lead to lower EMIs.

Lender’s Policies

Different lenders have their own terms, conditions, and charges, which can affect the final EMI calculation.