Financial Tools
Business Loan Affordability Calculator
Debt service coverage ratio, the number business lenders check first. Your operating income against the payments on the loan you want plus the debt you already carry.
Annual Net Operating Income (revenue minus operating expenses, before debt payments)
Existing Annual Debt Payments (principal + interest on current loans)
Loan You Want
Interest Rate (% per year)
Term
Lender Minimum DSCR (1.25x is the common floor, SBA often 1.15x)
Values shown are examples. Lenders compute NOI differently, use the figure from your last tax return or financials.
Coverage
| Debt Service Coverage Ratio | n/a |
| Against the Minimum | n/a |
| Monthly Payment on the New Loan | $0 |
| Total Annual Debt Service | $0 |
| Cash Left After Debt Service | $0 |
| Largest Loan at the Minimum DSCR | $0 |
For illustration only, not financial advice. Results are estimates based on the numbers you enter and do not constitute an offer, rate quote or approval.
Your coverage ratio decides the offer.
Compare business lenders on published rate, term and fee, not on a sales call.
Questions people ask
How is the debt service coverage ratio calculated?
The page divides your annual net operating income by total annual debt service. Debt service is twelve payments on the loan you want plus the existing annual debt payments you enter.
What does Largest Loan at the Minimum DSCR mean?
It is the loan amount, at your rate and term, whose payments plus your existing debt keep the ratio at the lender minimum you set. Borrowing more would push the ratio below that minimum.
What should I enter as net operating income?
Revenue minus operating expenses, before debt payments. Lenders compute it in different ways, so use the figure from your last tax return or financials.
Does a ratio above the minimum mean I will get the loan?
No. The ratio is one check a lender runs, and the minimum on this page is a number you set. Banrox is not a lender and does not approve loans.
