Three numbers go in (what is financed, the yearly rate, the count of months) and three come out: one level payment, the interest it adds up to, and every payment summed. It leaves out fees, insurance and any down payment, which are covered in the text on this page.
Machinery Loan Repayment Calculator: Reading the Result Before a Second Press Brake
Before a second press brake goes on the floor, the payment has to fit beside the first one and the jobs that justify both. The calculator on this page gives three figures to set against that work, and each one answers a different question.
| Field | What it means |
|---|---|
| Amount ($) | The sum financed: the machine price minus any cash paid up front or trade-in credit |
| Rate (annual %) | The annual rate from the offer, entered as a percentage |
| Term (months) | How many monthly payments the schedule has |
| Estimated monthly payment | One level payment, the same each month to the end |
| Total interest | What the money costs over the whole term |
| Total repaid | Every payment added together, interest included |
Illustration only, invented figures: a used press brake with tooling is financed at $67,500 for 60 months at an annual rate of 9.2%. Entered as is, those figures give $1,407.75 a month; by the 60th payment the shop has sent $84,465.00, $16,965.00 of it interest. The question to ask of the $1,407.75 payment is how many hours of bending work a month it takes to cover it.
Worked Example: Machine Loan Payment Calculator for a Machine Shop Planning Material Runs
A shop that adds a CNC lathe also adds the bar stock to feed it, and that stock is bought before the parts ship. The machine payment and the material buys come out of the same account, so plan them together.
| Line | Figure |
|---|---|
| Amount ($) | $93,500 |
| Rate (annual %) | 8.7% |
| Term (months) | 72 |
| Estimated monthly payment | $1,671.50 |
| Total interest | $26,848.00 |
| Total repaid | $120,348.00 |
In the same invented case, each production run needs $9,000 of material up front, and the shop plans 2 runs a month. That puts $18,000 of material beside the $1,671.50 payment every month before any invoice is paid. Material buys like that fit a line of credit; the lathe fits its own schedule.
Worked Example: Machine Loan Payment Calculator for a Machine Shop Planning Long Receivables
When customers pay on net-60 terms, the first payments on a new machine come due before the first parts it made are paid for. The calculator shows the payment; the timing is a separate sum.
| Line | Figure |
|---|---|
| Amount ($) | $53,000 |
| Rate (annual %) | 10.05% |
| Term (months) | 48 |
| Estimated monthly payment | $1,345.49 |
| Total interest | $11,583.52 |
| Total repaid | $64,583.52 |
In this invented schedule, the first payment is due a month after delivery and the first invoice from the new machine is paid 60 days after it ships. Two payments, $2,690.98, are paid before that money arrives, and carrying that gap is a working capital question.
Worked Example: Machine Loan Payment Calculator for a Machine Shop Planning a Second Shift
A mill bought to run a second shift pays for itself only if the second shift has work. Set the payment against the added labor, not against the machine price alone.
| Line | Figure |
|---|---|
| Amount ($) | $142,000 |
| Rate (annual %) | 9.4% |
| Term (months) | 84 |
| Estimated monthly payment | $2,313.58 |
| Total interest | $52,340.72 |
| Total repaid | $194,340.72 |
In the same invented case, one operator at $26 an hour for 40 hours a week costs about $4,506.67 a month in wages (52 weeks spread over 12 months), more than the $2,313.58 machine payment. The second shift has to bring in enough parts to carry both. The equipment financing page covers how a partner looks at a quote like this one. With the mill quote and the shift plan worked out, the Boldpine request page holds a short form of contact details and three ranges, and the mill itself gets talked over by phone.
By Boldpine Lenders ยท Updated