Calculator
Cost of Capital Calculator
Enter a funded amount and factor rate to see total payback, your cost in dollars, the payment, and the true multiplier after anything withheld at funding.
The short answer
To calculate the cost of business capital, multiply the funded amount by the factor rate to get total payback, then subtract the funded amount to get your cost in dollars. If any amount is withheld at funding, divide total payback by the net amount received to get your true multiplier.
Total you repay
$124,000
Cost of capital
$24,000
Payment per week
$2,384.62
Lands in your account
$100,000
True multiplier
1.240
Approx. APR
44.0%
Add anything withheld at funding above to see your true multiplier. APR is estimated on the amount that actually reaches your account.
Key takeaways
- Total payback = funded amount × factor rate.
- Cost in dollars = total payback − funded amount.
- True multiplier = total payback ÷ net amount actually received.
- Anything withheld at funding raises your effective cost above the quoted rate.
How the math works
A factor rate is a fixed multiplier, not an accruing interest rate. Multiply what you receive by the factor and you have your total obligation — set at signing, and unchanged by time.
The one adjustment that matters: if an origination or administrative amount is deducted before the money reaches you, your effective cost is higher than the quoted factor, because you are repaying on capital you never received. The calculator handles this in the true-multiplier line.
Express Capital Funding · Direct lender
See what your revenue supports
We underwrite in-house and fund from our own balance sheet. $10,000+ in monthly revenue and 6+ months in business is the gate — a decision the same day, funding in as little as 24–48 hours.
4.8★ from 579 reviews · A+ BBB accredited · $250M+ funded
Frequently asked questions
Does a factor rate compound?
No. The total is fixed when you sign and does not grow with time or with an outstanding balance.
Why is my true multiplier higher than the factor rate?
Because an amount was withheld at funding. You repay on the approved figure but only received the net, so the effective cost rises.
Keep reading
These calculators are planning tools using standard industry conventions. They are estimates, not quotes, and are not an offer or commitment to lend. Actual terms depend on a review of your business.
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