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Commercial Loan Calculator

Commercial Loan Calculator

Use this calculator to estimate your debt service coverage with a new commercial loan. If your debt service coverage is greater than 1.25, including your new loan payment, you have a good chance of being approved.
By changing any value in the following form fields, calculated values are immediately provided for displayed output values. Click the view report button to see all of your results.
Commercial Loan Calculator
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You probably do not qualify Column Graph: Please use the calculator's report to see detailed calculation results in tabular form.


New loan amount

Total amount of your loan.

Amortization in years

Payment period in years.

Interest rate

Annual interest rate for this loan. Interest is calculated monthly on the current outstanding balance of your loan at 1/12 of the annual rate.

New monthly payment

Monthly payment for this loan.

Annual verifiable net income

Your annual net income from IRS tax returns or other financial statements.

Annual depreciation expense

Since depreciation reduces your net income, but not your cash flow, we add back depreciation in calculating your total net cash income.

Other non-cash charges

Like depreciation, these are other non-cash charges to your net income that should be added back to calculate your total net cash income for the year.

Real estate mortgage

Your monthly payment for any real estate mortgages.

Business line of credit

Your monthly payment for any business lines of credit.

Auto loans

Your monthly payment for any auto loans.

Credit cards

Your monthly payment for any credit cards.

Other loans

Your monthly payment for any other outstanding loans.

Monthly debt payments eliminated

Enter the amount, if any, of the monthly obligations you entered above that will be paid off by this new loan.

Debt service coverage (DSC)

The debt service coverage is determined by dividing the total annual net cash income by the total annual debt service. If you have a DSC of 1.25 or higher, there is a good chance that you will be approved for your loan.

Peoples State Bank

Information and interactive calculators are made available to you only as self-help tools for your independent use and are not intended to provide investment or tax advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.