Borrowing Capacity Calculator
Estimate how much debt a cash-flow target may support at a stated coverage ratio.
What Does the Borrowing Capacity Calculator Do?
The Borrowing Capacity Calculator works backward from cash flow. Given annual cash available, a target debt service coverage ratio, a rate and an amortization period, it estimates the loan size whose payments that cash flow could support. It shows your target and two nearby targets.
Borrowing Capacity Calculator
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Scenario Comparison
Illustrative estimate only. The Chris Mafera Capital Corp. is a commercial financing advisory and brokerage firm, not a direct lender. This is not a financing offer, approval, or commitment.
Inputs, Results and Assumptions
What You Enter
- Annual cash available: yearly cash flow available for debt service.
- Target DSCR: the coverage ratio you want to test, for example 1.25.
- Interest rate %: the annual rate to model.
- Amortization years: the repayment period.
What the Results Show
- Illustrative capacity at your target DSCR, and at a target 0.10 lower and 0.10 higher. A higher target leaves more cash cushion and supports a smaller loan.
Assumptions and Limits
- Capacity is the loan whose level monthly payments equal annual cash divided by the target ratio, divided by twelve.
- Funding sources set their own coverage requirements and may adjust cash flow before using it.
- Fees, balloons and interest-only periods are not modeled.
The numbers pre-filled in the fields are sample values so the tool shows a result on first load. They are not CMCC rates, quotes or offers.
Borrowing Capacity Calculator FAQs
How is borrowing capacity estimated?
The annual cash available is divided by the target DSCR to find the maximum annual debt service, then converted to the loan amount that payment would amortize over the chosen term at the chosen rate.
Why do the three results differ?
A higher target coverage ratio means less of the cash flow can go to payments, so the supported loan is smaller. The page shows your target and targets 0.10 above and below it.
Is this the amount CMCC or a funding source would lend?
No. It is a planning estimate. Approval, amount, rate and terms are decided by the funding source after underwriting. The DSCR guide explains the ratio.
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Have CMCC Review carries your inputs and results into the application. CMCC is a commercial finance advisory and brokerage firm, not a direct lender; independent funding providers make their own credit decisions.