How much does a non-bank business loan cost? Interest, commission and other fees

A business loan offer often starts with a single number: the annual interest rate, a monthly cost or a commission. This figure provides an initial sense of the price, but it is rarely enough to make a decision. It does not yet show how much cash the business will actually receive, how much it will repay over the full term, or what will happen to the cost if the loan is repaid early or an instalment is late.

Differences between offers do not necessarily result from a hidden fee buried in the small print. Often, the problem lies in how the price is presented. One offer highlights the interest rate, another a one-off commission, and a third the monthly instalment. Each figure may be accurate, but it describes a different part of the obligation. This is why the phrase "hidden financing costs" often refers not to an undisclosed charge, but to the absence of a complete picture before the decision is made.

The best way to assess the cost of a non-bank business loan is therefore to treat it as a flow of money. Establish:

• the amount stated in the agreement
• how much cash will actually reach the business account
• which payments are due and on what dates under the schedule
• which charges are one-off and which depend on time
• whether the cost may change after early repayment, a delay or an amendment
• which expenses relate to collateral or additional services

The most important figure is not always the one shown in the offer headline. For the business, what matters is the relationship between the cash actually available in its account and the full amount of all payments required under the agreement.

What makes up the cost of a non-bank business loan?

The price of financing may consist of several elements that serve different purposes and are charged at different times. Interest usually depends on the outstanding principal and the length of time for which the funds are used. A commission may be a one-off amount charged when the agreement is signed or the funds are released. An arrangement fee may cover work related to assessment and preparation of the financing. Additional expenses may arise when collateral is established, the repayment schedule is changed or a payment is late.

However, terminology is not standardised across the B2B market. In one agreement, the fee for preparing and granting financing may appear as a single commission. In another, it may be split across several items. Whether the business incurs a cost is determined by the documents and the way the charge is settled, not by the name of the fee alone.

Not every loan includes all of these components. Their presence or absence must be confirmed in the documents for the specific offer. If a proposal shows only an interest rate or a monthly instalment, the business still needs a breakdown of the remaining costs.

Nominal interest rate - what does it show and what does it leave out?

The nominal interest rate is the rate used to calculate interest. It is not, however, a ready answer to how many zlotys the business will pay. Calculating the total interest also requires the calculation base, the time for which the capital is used, the instalment dates and the way the principal balance decreases.

With principal repayments, the balance gradually falls, so interest in each subsequent period may be calculated on a smaller amount. With a bullet repayment, more of the principal remains available for the entire term. Two loans with the same interest rate and maturity date may therefore generate different total interest if their repayment schedules differ.

Fixed or variable interest?

With a fixed rate, the rate does not change during the period specified in the agreement. The amount of interest within an instalment may still change as the outstanding principal falls, but the rate itself remains the same.

A variable rate is usually based on a specified benchmark plus a margin. In this case, the agreement should explain:

• which benchmark is used
• how often it is updated
• which date is used to determine the benchmark value
• when a change affects the instalment or schedule
• whether a minimum or maximum rate follows from the agreement or applicable law

It is not enough to state that the rate is variable. The business should be able to determine how it changes without relying on the discretionary decision of one party.

What is the maximum permitted interest rate?

The Polish Civil Code limits interest arising from a legal transaction. Under Article 359 of the Civil Code, statutory interest is equal to the NBP reference rate plus 3.5 percentage points, while maximum interest may not exceed twice that amount.

As at August 10, 2026, the NBP reference rate is 3.75%. This means statutory interest of 7.25% and maximum capital interest of 14.5% per year.

This mechanism does not mean that 14.5% is a universal cap on the full cost of a business loan. The interest cap and the total price of financing are two different issues. Commissions, collateral expenses and other fees must be assessed separately. It should also not be assumed that every B2B loan is covered by the consumer rules that cap non-interest costs.

Commission on a business loan - how can it be charged?

A commission is one of the most common non-interest components of the price of financing. It may be connected with granting the loan, releasing the funds or keeping capital available. Its impact depends not only on the percentage, but also on the calculation base and the way it is settled.

A commission of 5% does not yet answer four basic questions:

1. Is the 5% calculated on the amount in the agreement, the amount paid out or another base?
2. Will the commission be deducted before the funds are transferred?
3. Will it be added to the principal and repaid in instalments?
4. Will the business pay it by a separate transfer?

Each option affects liquidity differently. If the commission is deducted, the business receives less cash even though it may have to repay the principal stated in the agreement. If it is added to the balance, the business may receive the full amount it needs, but it repays a higher balance and should check whether interest is charged on the added fee. A separate payment does not reduce the payout, but it requires cash at the outset.

A commission is particularly important in short-term financing. A one-off 5% charge on a three-month loan burdens a much shorter period than the same percentage on a two-year obligation. This does not mean it should be mechanically converted into an interest rate. It does show why comparing isolated percentages without considering time can lead to the wrong conclusion.

Arrangement fee - what is it and when can it apply?

An arrangement fee may cover work performed before capital is made available, such as assessing the application, preparing documents, reviewing the transaction or organising the process. Its scope cannot be inferred from the name alone. It must be described in the offer, terms and conditions or agreement.

An arrangement fee should not automatically be treated as an extra cost on top of a commission. One offer may contain only a commission. Another may contain only an arrangement fee. A third may include both, but they may relate to different activities. To compare offers, add up every amount regardless of its label.

The business should establish:

• the amount or rate of the fee
• the base on which it is calculated
• the stage at which it becomes due
• whether it is charged only after a positive decision and release of the funds
• whether it is refundable if the payout does not take place
• whether it is deducted, added to the balance or paid separately
• how it will be documented

Particular caution is required when a high upfront payment is requested before the terms are presented, the provider is verified and the service is clearly described. The existence of a fee does not by itself make an offer unreliable. The problem is a lack of information about why it is charged, when it becomes due and what consequences follow.

Loan amount vs amount paid into the account

The financing amount stated in the agreement is not always equal to the cash that the business can use to pay a supplier, employees or the tax authority. A difference arises mainly when a commission or fee is deducted before payout.

Assume the agreement is for PLN 100,000 and a one-off fee of PLN 5,000 is deducted when the loan is released. The business receives PLN 95,000. If its project requires the full PLN 100,000, it faces a PLN 5,000 shortfall that must be covered from its own cash or reflected in the financing structure.

The analysis should therefore contain at least three separate figures:

• nominal amount - the principal stated in the agreement
• net payout - the cash actually made available to the business after deductions
• total amount payable - all instalments, interest, commissions and other amounts due under the base scenario

A useful working calculation is:

cost in currency = total payments to the lender + mandatory external costs - net amount received by the business

This is not a statutory definition of total cost or a substitute for an indicator required under a particular legal regime. It is a practical way to check how much the business will economically pay above the funds it actually received.

Consistency matters. When comparing two offers, include the same categories in both. Notarial costs, a valuation or mandatory insurance should be included on both sides if they are a condition of obtaining the financing.

What other costs may appear in the agreement?

Interest, commission and an arrangement fee are usually the most visible items, but they do not cover the entire decision. Other costs depend on the type of loan, the collateral and events during repayment.

Collateral

A promissory note or guarantee may not generate a large upfront expense, but it extends legal and economic exposure. A mortgage may involve a property valuation, documents, notarial services, a court fee or insurance. An assignment of receivables may require additional steps involving the customer.

The cost of collateral should not be reduced to the invoice for establishing it. The business also needs to determine who is liable, up to what amount, which event allows the collateral to be enforced and how it will be released after repayment.

Additional services and products

An offer may require an account, insurance, a valuation, legal services or another service. If the business cannot obtain the loan or the presented terms without it, include the cost in the comparison. A voluntary service should be clearly separated from mandatory conditions.

Amending the agreement

Moving a due date, granting a payment holiday, changing collateral or changing the schedule may require an amendment. It is worth learning the procedure and cost before signing, even if the business does not currently plan to use these options. Otherwise, it may discover the price of flexibility only when it is under time pressure.

Non-use or withdrawal

Depending on the financing structure, a fee may relate to keeping funds available, granting a limit or work completed before payout. Check whether a cost will arise if the business does not use the full amount available or withdraws before the funds are paid out.

How does the repayment schedule affect total cost?

The schedule answers two different questions. The first concerns price: how much interest will accrue over time. The second concerns liquidity: whether the business will have cash on the required payment dates. An offer may have an acceptable total cost and still be poorly matched to the business cycle.

With equal instalments, the total monthly payment is similar, but the proportions of principal and interest change over time. With decreasing instalments, principal is repaid more quickly, so total interest may be lower, but the initial burden is usually higher. With a balloon payment, ongoing instalments may be smaller, but a large amount of principal remains due at the end.

There is no single best schedule for every business. A company with stable monthly inflows may prefer a predictable instalment. A seasonal business needs to assess whether payments fall in months that generate cash. A company delivering a contract should check that the first instalments do not fall due before acceptance of the work and payment by the customer.

Overlay the repayment schedule on a cash flow forecast and test at least three scenarios:

1. Base case - inflows and expenses occur as planned.
2. Cautious case - revenue is lower or the customer pays later.
3. Stress case - a major expense, delay or temporary fall in sales occurs.

A safe instalment is not merely one that can be paid in an average month. It should leave room for taxes, payroll, suppliers and a realistic deviation from the plan.

Profit shown in the income statement does not automatically mean that cash is available on the instalment date. If this distinction is not clear, first review the relationship between cash flow and profit.

If the problem is waiting for payment of a single invoice, a conventional instalment loan is not always the first option to compare. Invoice financing may connect the payout and settlement differently to the customer's receivable. Its full cost, assignment rules and responsibility for non-payment must still be checked.

Why does a lower interest rate not always mean a cheaper loan?

Two offers may distribute their price between interest and fees in different proportions. A lower interest rate may come with a higher commission. A higher nominal rate may be paired with a lower upfront cost. The outcome is determined by all cash flows.

The example below is a neutral educational calculation. It does not represent the pricing or offer of any particular lender.

A business needs capital for 12 months. Under both options, the agreement is for PLN 100,000, repayment is made in 12 equal instalments and the commission is deducted before payout. To keep the example simple, we omit collateral costs, taxes, differences in payout dates and schedule rounding.

If the business owner compares only the interest rate, they will choose Offer A. Looking only at the total of the instalments may also make it appear cheaper. Only after accounting for the deducted commission does it become clear that the business receives PLN 6,000 less under this option. The difference between total repayment and cash actually received is approximately PLN 3,754.52 lower under Offer B.

This does not automatically make Offer B better. Its instalment is higher, so it may place greater pressure on monthly cash flow. If the project requires exactly PLN 100,000, neither offer provides the full amount needed after commission is deducted. The comparison should therefore also cover:

• the net amount actually required
• ability to pay the instalment in a weaker month
• early repayment terms
• collateral costs and scope
• charges for a delay or amendment
• when the funds will be available

The example demonstrates a principle, not a ready-made way to select a winner. The lowest interest rate, the lowest instalment and the lowest cost in currency may point to three different offers. The business must decide which parameter corresponds to its actual need and risk.

What happens to costs after early repayment?

Early repayment may reduce interest that would otherwise accrue over the remaining term, but it does not necessarily mean that every commission or fee on a business loan will be refunded proportionally. The rules must be checked in the specific agreement.

Before signing, obtain answers to five questions:

1. Can the loan be repaid early at any time?
2. Does it require advance notice?
3. How will interest be settled up to the actual repayment date?
4. Will the commission or arrangement fee be refunded in full, in part or not at all?
5. Is there an additional fee for closing the agreement early?

Rules applying to consumer credit should not automatically be carried over to business financing. The Polish Office of Competition and Consumer Protection explains a consumer's right to a proportional reduction of costs after early repayment of consumer credit, but a typical loan entered into directly in connection with business activity falls into a different category. In B2B transactions, the scope of applicable law and the agreement itself are crucial.

If the business expects to repay after receiving payment under a contract in three months, it should not assess the cost solely on the basis of a twelve-month schedule. It needs a calculation for closing the loan on the planned date. Ask for a concrete example in currency, not just a general assurance that early repayment is allowed.

How much can a delay or amendment cost?

The basic schedule describes a scenario without problems. A prudent assessment should also cover a situation in which the customer pays later, the business needs to move an instalment or the collateral must be changed.

Default interest may apply when a payment is late. Under Article 481 of the Polish Civil Code, if the agreement does not specify a different rate, statutory default interest is equal to the NBP reference rate plus 5.5 percentage points. Maximum default interest is twice the statutory default interest rate.

With a reference rate of 3.75%, this currently means statutory default interest of 9.25% and maximum default interest of 18.5% per year. These values may change with the NBP reference rate.

The interest rate alone does not describe every consequence. The agreement may set out procedures for reminders, termination, restructuring, amendments and enforcement of collateral. Some costs may also result from external actions, such as notarial, court or enforcement work, depending on the course of the case and its legal basis.

Before signing, perform a simple test: what happens after a 7, 14 and 30-day delay? The business should know not only the additional interest, but also the order of actions, the available communication route and the point at which a breach may lead to termination of the agreement.

Does a business loan have to state an APR?

APR is an indicator strongly associated with the consumer credit regime. The Polish Consumer Credit Act sets out disclosure obligations towards consumers and defines the total cost of credit and the annual percentage rate of charge.

However, it should not be assumed that every lender must provide an APR for every business loan. Typical B2B financing taken directly for business purposes is not automatically consumer credit. The scope of protection may depend on the status of the party, the relationship between the agreement and its business activity, and the nature of the transaction.

If a provider voluntarily shows an APR or another effective cost indicator, it may help comparison, but only when the assumptions are consistent. Check:

• which payout amount was used in the calculation
• which commissions and fees were included
• which payout and repayment dates were assumed
• whether the indicator includes mandatory external costs
• whether the offers being compared cover the same amount and term

For a business owner, the simplest starting point remains the amounts in currency and the full schedule. A percentage indicator becomes useful only when it is clear which cash flows it includes.

How should a business check a loan offer before signing?

Comparison begins by standardising the assumptions. It makes no sense to compare a three-month loan with 24-month financing only by looking at the rate. A different term means a different instalment, a different period of access to capital and often a different risk for the business.

First, define one need: the same required net amount, payout date and, as far as possible, a similar schedule. Then enter each offer into the same table.

After completing the table, take four more steps.

1. Check the documents, not only the sales summary

Terms discussed in a message, conversation or calculator should be confirmed in the offer, agreement, terms and conditions, schedule and fee table. If the documents contradict each other, resolve the discrepancy before signing.

2. Calculate the scenario that matches the real plan

If the business intends to repay after receiving payment under a contract, ask for a calculation for that date. If sales are seasonal, overlay instalments on the weaker months. A standard example in an offer cannot replace the company's own scenario.

3. Assess the cost against the purpose

Financing may be more expensive in nominal terms and still be economically justified if it allows the business to deliver a profitable contract or protect operational continuity. However, comparing the cost with revenue is not enough. It must be compared with the margin after all project costs, while retaining a buffer for delay or higher expenses.

4. Check whether a loan is the right product

A business waiting for payment of an undisputed invoice may need receivables financing, not another instalment. A machine purchase may require a comparison between a loan and leasing. A recurring operating loss requires a recovery plan, not automatically more debt.

The guide to non-bank business financing - how it works and when it makes sense explains how to match a solution to the source of the funding gap.

When should the cost stop a business from taking a loan?

A loan does not become a sound decision simply because the offer is transparent. Full information may also lead to the conclusion that the business should not take on the proposed amount or accept the presented terms.

Particular caution is required when:

• the cost of financing absorbs most of the project's margin
• the net payout is not enough to complete the purpose
• the first instalments fall due before realistic inflows
• repayment is feasible only with perfect sales and no delays
• the business immediately needs another loan to service the first one
• the obligation covers a recurring loss without a plan to change the model
• the collateral is disproportionate to the benefit of the capital
• the business owner does not understand the cost of early repayment, delay or an amendment

Sometimes the correct outcome of a comparison is a smaller amount, a different term, a larger own contribution, a phased project or a product tied to a specific invoice or asset. Refusing to sign an overly tight agreement is also a financial decision.

How much does a non-bank business loan really cost?

There is no single rate for the entire market. The full price depends on the amount, term, interest rate, commission, fees, repayment schedule, collateral and events during repayment. A business owner can nevertheless organise the assessment around three figures:

1. How much money will the business actually receive?
2. How much will it pay in total under the base scenario?
3. How will the cost change after early repayment, a delay or an amendment?

Interest remains important, but it should not be analysed in isolation. Commission is linked to the payout method. The schedule links price to liquidity. Collateral links access to capital with risk. Only this complete picture makes it possible to compare offers that look entirely different on the first page.

A sound offer should not require a business owner to guess how much they will pay. It should make it possible to reconstruct the full flow of money from payout to the final instalment, including early repayment and delay scenarios.