Short-Term Business Loan Calculator

Quickly estimate monthly repayments and total cost for an unsecured, short-term business loan. Enter your loan amount and term to see expected repayments and how they’re structured.

Get funding in as little as 24hrs through Prospa’s vetted lenders.
We’ll match your business to a lender that fits your needs and help you through the application.

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About this short-term business loan calculator

This short term business loan calculator is illustrative and reflects typical pricing patterns we see from our unsecured lenders in South Africa. Prospa is a loan broker – we work with a selection of reputable non-bank lenders, each with their own pricing and credit policies.
Your exact loan amount, interest/fees and repayment structure will depend on your business profile and the lender’s assessment.

What is an unsecured short-term business loan?

An unsecured short-term business loan is funding without property or asset collateral, usually repaid over 3-12 months. These loans are designed for cash-flow bridging, inventory purchases, marketing push, repairs, or growth projects. Because they are unsecured and fast to set up, pricing is typically higher than bank loans but far quicker to access.

Benefits vs a traditional bank loan

• Speed & simplicity: Faster decisions and funding compared to bank processes.
• Flexible use: Working capital, stock, supplier payments, seasonal gaps.
• No collateral: Approval is based on business performance rather than assets.
• Short terms: Clear end date (3, 6, 9 or 12 months) to match cash-flow cycles.

Minimum requirements to apply via Prospa

To keep loan application assessments efficient, most unsecured lenders we work with expect:

• CIPC-registered business (Company or Close Corporation)
• In operation ≥ 6 months
• Average monthly revenue ≥ R50,000
• 6 months of bank statements (PDF or via secure bank-statement link)

Choosing a viable loan amount and term

Picking the right numbers keeps repayments comfortable and approval chances higher.

• Match term to cash-flow:
  • 3-6 months for quick stock turns, campaign bursts, short projects.
  • 9-12 months if your revenue cycle is slower or you want smaller monthly instalments.
• Stress-test the repayment: Use the business loan repayment calculator above to confirm affordability with a margin of safety (e.g., assume one softer revenue month).
• Borrow what you need, not the maximum: A smaller facility you can comfortably service is better than stretching cash-flow.
• Plan for early settlement if options exist: Many lenders allow early settlement; ask us to prioritise this if it matters to you.

How is interest calculated on a business loan?

Lenders price unsecured, short-term loans in a few ways. Common approaches include:

• Fixed “simple” interest or fee for the term (what our business loan interest calculator illustrates).
• Factor rate (a fixed cost applied to the principal, repaid over the term).
• Risk-based pricing (rates vary by turnover stability, bank statement health, industry, term).

Our calculator shows total repayment and a monthly repayment structure typical of short-term unsecured loans in SA. Actual pricing may differ by lender and application specifics. If you need an unsecured business loan calculator view aligned to a particular lender’s method, we can tailor that during your application.

How Prospa helps

• Lender matching: We compare reputable South African unsecured lenders and match you based on turnover, cash-flow, and purpose.
• Maximise approval odds: We help package the application so underwriters see your strengths clearly.
• Clarity on costs: We explain repayment structures and total cost in plain language.
• Speed: One application; multiple funding options.
• Ongoing support: Need a top-up later or a longer term? We’ll guide you.

Ready to move forward?

FAQs