Loan Payment / SBA Calculator for Retail

Retail businesses typically seek financing for two main purposes: inventory and tenant improvements (TI) — and the loan structure should match the use. Inventory financing is often better served by a revolving line of credit ($25,000–$100,000 at 8–12%), since inventory turns over and you don't want to pay a 7-year term loan on products you'll sell in 60 days. For larger investments — store buildout, fixtures, technology infrastructure, or opening a second location — an SBA loan or conventional term loan makes more sense. Typical retail SBA loans run $100,000–$250,000 at 7–9% interest for 7–10 years. Your monthly payment on a $150K loan at 8% for 7 years would be approximately $2,340. Lenders evaluating retail businesses focus on three metrics: gross margin (should be above 45%), inventory turnover (4x+ annually), and the rent-to-revenue ratio (under 10%). If you're a new retailer without a track record, expect to provide a larger down payment (20–25%) and potentially offer additional collateral. This calculator shows you exactly what your monthly obligation will be so you can factor debt service into your break-even analysis and cash flow forecast. The key question isn't "Can I afford the payment?" — it's "Can I afford the payment during my slowest month?"