This restaurant equipment payment calculator works out the monthly payment, total interest and total cost, including the down payment, of financing kitchen equipment from its price, down payment, interest rate and term. Lynxstead Financial, a small-business funding broker in Toms River, NJ, provides it for Ocean County restaurants as illustrative arithmetic only, not an offer or estimate of terms.
What to enter
- Equipment price: the total on the quote for the oven, cooler, hood or dish machine, including delivery and installation if the financing will cover them.
- Down payment: cash you put in at the start. Leave it blank if there is none.
- Interest rate: the annual note rate stated in the financing offer.
- Term: enter the months the offer runs, as a whole number.
Reading the results
Monthly payment is the fixed payment that pays off the financed amount, the price minus the down payment, over the term at the rate entered. Total interest is everything paid above the financed amount. Total cost including down payment adds the down payment back in, so you can see the full outlay for the equipment.
Try two terms side by side. A longer term lowers the monthly payment and raises total interest; a shorter one does the reverse. A restaurant usually wants a term no longer than the equipment's working life.
What you have to work out by hand
- Fees. The calculation leaves out documentation and origination fees. Add them to the total cost, or subtract them from the amount you receive if they are deducted at funding.
- Leases. The calculator models a loan or finance agreement, not a lease. For a lease, add up the lease payments and the end-of-term purchase price from the lease itself, and compare that total with the result here.
- Payments that are not monthly. The calculator assumes monthly payments. If an offer debits weekly or daily, ask the partner for the full schedule and total of payments.
- Variable rates. The result assumes the rate stays fixed for the whole term.
Why Ocean County, NJ restaurants finance equipment
Ocean County had 1,150 restaurants and other eating places with paid employees in 2023, employing 16,033 people (U.S. Census Bureau, County Business Patterns 2023). Kitchen equipment is one of their largest purchases, and spreading it over the equipment's life keeps cash available for food and payroll. Restaurant financing covers the wider picture, and equipment financing explains loans, leases and finance agreements.
Limits of the result
Results are illustrative arithmetic only. They are not an offer, and actual rates and terms are set by lending partners. More tools and guides are in the resources section.
By Lynxstead Financial · Updated
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