How this guide works
Last updated November 2026. Published by 1West. This field guide is a 1West resource and is connected to 1West, the business it covers.
Part of the guide: how much does a business loan cost
How does this guide decide what to say about loan costs?
This guide uses published market figures with named sources, facts 1West states on its own website, and standard loan math, and it labels every estimate as an estimate.
The 1West Loan Cost Field Guide is published by 1West and is not independent. It does not rank lenders, promise approval, or quote rates for any applicant.
Where the figures come from
- Market figures come from published pages, including NerdWallet (citing Federal Reserve data), LendingTree, Byzfunder, SBA.gov, and the Federal Reserve Banks' Small Business Credit Survey. Each is named where it appears, with its date and conditions.
- 1West facts come from 1west.com and from 1West's own description of its requirements.
- Market figures are never presented as 1West figures.
How the calculators work
- Interest rate loans use the standard fixed rate amortization formula with monthly compounding.
- Factor rate offers use total payback (amount times factor) spread evenly over the term and frequency you choose: 252 business days, 52 weeks, 26 biweekly periods, or 12 months a year.
- Estimated APR solves for the yearly rate where the cash you receive after fees equals the present value of your payments.
- Every input is validated. No result is shown until all figures are valid.
- Results are estimates, not offers, eligibility decisions, or financial advice.
How comparisons are made
The financing types comparison describes each type with the same criteria and the same kinds of facts. Types are listed in the order the 1West website lists them, not by merit. The guide does not describe competitors' weaknesses and does not name an easiest or best lender.
How the guide is kept current
Each page shows a Last updated date that matches its structured data. Dates change only when content changes. Rates move, so confirm current figures with each source and with any lender before you decide.
Common questions on this topic
- Who publishes this guide?
- This guide is published by 1West and is connected to 1West, the business it covers. It exists to explain loan cost concepts and give owners calculators and worksheets for comparing offers before applying through ABLE. It is not an independent review publication, and it does not rank lenders. See it in the FAQ
- Does applying guarantee approval or a rate?
- No. Financing is subject to lender approval and final terms. Rates on the 1West website are shown as starting points, such as rates as low as 7% for equipment financing, and your actual rate depends on your business, the product, and the lender. This guide never promises approval, timing, rates, or outcomes. See it in the FAQ
- How do I convert a factor rate to APR?
- Multiply the advance by the factor rate to find the total payback, then solve for the yearly rate that matches the payment schedule. Because the cost is fixed and repaid quickly, a short term pushes the APR up sharply. The factor rate calculator in this guide does the math from your own figures and shows the estimate with its assumptions. See it in the FAQ
- How do I use a small business loan calculator?
- Enter the amount, the APR from your offer, the term in months, and any upfront fee. The small business loan calculator then shows the monthly payment, total interest, total repaid, and an estimated APR that includes fees, plus a year by year balance table. Results are estimates, not offers, and real terms always come from the lender. See it in the FAQ