Entering a Loan with Deferred Payments
In Upmetrics, when you enter a Standard Loan into your forecast, the software will automatically begin applying for payments the month after the receipt of the loan. If you're taking on a loan where you won't make payments right away (also known as "deferred payments"), the Add Other financing entry will allow you to represent that.
Entering a Deferred Payment Loan:
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Under the working capital tab of Finance Forecasting module, Click on the Funding tab, and then click Add Funding option:
TIP: Moving finance items from one group to another is hassle-free with Upmetrics. For a detailed walkthrough, check out our help guide here.
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Enter a name for the loan(borrowed on interest), and select funding type as Other Financing(Borrowed) and then click on Next:
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Enter the annual interest rate(If your loan will have interest calculated on it, enter that percentage. If your loan will have no interest, enter a zero) and also indicate whether you'll pay this financing back within 12 months:
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Click on Save.
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Amount Received: Enter the amount of money you'll receive and when you'll receive it. You can enter a single amount in a single month or amounts in multiple months, depending on how your loan is structured, Upmetrics will automatically calculate interest on the loan and other parameters using the standard loan formula:
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Amount Repaid: Enter the amount you plan to pay back each month or year against the balance:
NOTE: If you aren't sure of your payment amounts, you may want to consult your lender, or do an online search for a loan payment calculator.
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Whatever updates you make in the excel sheet are set on autosave mode. Close the overlay. This loan and its payments will be displayed in the Financing table.
NOTE: If you have entered interest to calculate on your loan, then it will begin calculating as of the start of the loan, and accrue until you begin making payments. If your loan has deferred interest, read Entering a loan with deferred interest.