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Small Business Loans

How do Loans Work?

Even if you don’t get a loan with us at CIC, it’s still important to understand how debt works.  How do interest rates work?  What is APR?  What does “amortization” mean?  If you’re planning to use debt as a form of financing—in your business or even in your personal life—we hope this page will help.

Basic Loan Calculator

If you go no further down on this page, at least make use of our Loan Calculator.  This particular calculator assumes you are accruing interest and making payments on a monthly basis.  In addition, it gives you the monthly payment necessary to entirely pay off your debt by the end.  Most loans work this way, but not all, so keep reading to learn more.

JavaScript Loan Calculator
Enter Loan Data:
Amount of the loan ($):
Annual interest (%):
Repayment period (years):
Additional Fees ($):
Payment Information:
Monthly payment: $
Number of payments:
Total interest: $
Total cost of loan: $

Advanced Loan Calculator

For more advanced calculations, we have put together an Excel file. With this calculator, you can see your entire payment schedule mapped out in a table.

Please click this link, and then DOWNLOAD the file.  (The web version is read-only.)

Term Loans

A term loan is a loan for a specific amount of money that’s paid back on a schedule over a specific period of time.  The amount of time given for payback is referred to as the term.  Interest may or may not be charged, but typically is. 
This is the most common type of loan, though there are other ways to borrow money, such as through a credit card, line of credit, or merchant cash advance, to name a few.

How Interest Works

What is Amortization?

Common Loan Examples

What Affects My Ability To Get A Loan?

Before spending time applying for a loan, it’s helpful to know what factors affect your likelihood of approval.  Below is a list of pros and cons. 

Some lenders have looser requirements but if you are deemed a risky borrower, they will likely charge you more interest.

Be a Savvy Borrower

There are many steps where you can get tripped up during the loan process.  Whether you get a loan from us at CIC or with someone else, we want you to be educated.  Check out our tips below to be a savvy borrower.


If you are interested in applying for financing, please fill out our inquiry / pre-application form. This will help us learn more about which product offerings might apply to you, and will ensure you don’t waste your time by filling out the wrong application.

For more information

If you are not ready to apply but would like to discuss the possibility of a loan or have questions, we are here to help!

Contact us at or 520-529-1766 x206.