AFRICAN MARKETS & BUSINESS CREDIT / FREE TOOL
What does this
credit actually cost?
Bring the invoice amount, quoted rate, fee, and credit period into one cash calculation.
YOUR WORKED SCENARIO
All-in cost for the periodKES 26,438.36
Net proceeds after stated costsKES 473,561.64
Cost over the credit period5.29%
Simple annualised cost32.17%
Follow the calculation.
| Measure | Calculated result |
|---|---|
| Quoted interest for the period | KES 16,438.36 |
| Origination or service fee | KES 10,000.00 |
Formulae used
\[ I = P \times r \times \frac{d}{365} \]
Period interest equals facility amount times annual rate times credit days divided by 365.
\[ \text{All-in cost} = I + F \]
All-in cost equals period interest plus the stated origination or service fee.
This planner puts the stated components of one facility into a comparable cash view. Add any provider-specific charges that apply to the quote you are considering.
Take the research further.
Use the full article and companion resources to put this calculation into its wider business, household, or portfolio context. The workbook keeps the deeper scenario modelling, data record and audit trail.
Read the business-credit research →