Commercial Loan Calculator
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Commercial Loan Calculator

Estimate your debt service coverage with a new loan.  if your debt service coverage is high enough, including your new loan payment, you have a better chance of being approved.

Please refer to the "Definitions" directly below the calculator area to help you understand each section of the calculator.

Commercial Loan Calculator Definitions

  • 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
    • 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.

Calculator Disclaimer

The Calculator Planning Tools are provided to you for illustrative purposes and are not guaranteed or intended to provide advice. The calculations you perform are based on the information you enter and should be used only as guidelines. The calculations do not represent terms or interest rates available from First Bank or whether you qualify for an account or loan. For more information please see our full Terms of Use or Contact Us if you have questions.