Best Business Loans for Good Credit in 2021 | Finder Canada

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Best business loans for good credit

Compare top lenders for different types of business needs.

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A good credit score of 660 to 724 looks great on a business loan application. But it’s not the only factor that lenders consider. Your finances and time in business can sometimes be more important than the owner’s credit. This range of providers could be good choices for businesses at any stage — as long as all owners have good credit.

Best business loans for good credit

Best for quick financing: OnDeck Business Loan

600
Min. Credit Score
8%
Starting APR
$5,000
Loan Amount
OnDeck Canada provides fast and affordable business loans in Canada. You can borrow anywhere from $5,000 to $300,000 with terms lasting from 6 - 18 months. You’ll have to repay the amount you borrow with fixed daily or weekly amounts, and your interest rates will range from 8.00% – 29.00%. The interest you’ll have to pay will depend on a number of factors like the state of your credit, how much you borrow and the length of your term.
Min. Loan Amount $5,000
Max. Loan Amount $300,000
APR 8.00% – 29.00%
Interest Rate Type Fixed
Pros
  • Quick financing (get cash in as little as 24 hours).
  • Large loan amounts.
  • No collateral required to qualify.
  • Several loan types.
Cons
  • Less competitive interest rates.
  • Minimum credit score of 600.
  • Businesses less than six months old won’t qualify.

Best for easy access to multiple lenders: Loans Canada Business Loan

410
Min. Credit Score

Starting APR
$2,000
Loan Amount
Loans Canada makes comparing multiple lenders easy with a single, streamlined application process. Simply provide some personal information and details about your business, then get matched with a list of lenders who will contact you to discuss your loan options. Loan types vary with amounts ranging from $2,000 to $350,000, and terms of up to 5 years. Interest rates vary based on your credit score, how long you've been in business and other factors.
Min. Loan Amount $2,000
Max. Loan Amount $350,000
APR Prime Pricing from 9.00%, Long term financing from Prime + 2.00%
Interest Rate Type Fixed
Pros
  • Access to multiple lenders through a single application
  • Personalized loan options based on your business's needs
  • Loans for a wide variety of credit scores, even bad credit
  • Available in all provinces
Cons
  • Must have at least $50,000 in annual revenue
  • Must have been operating for at least 100 days
  • Not suitable if you want to borrow small amounts under $2,000

Best for low-interest loans: SharpShooter Funding Business Loan

670
Min. Credit Score
9%
Starting APR
$500
Loan Amount
SharpShooter Funding offers loans for small business in amounts from $500 to $500,000 with terms ranging from 6 months up to five years. Just be aware that you’ll need to have been in business for at least 2 years with a monthly revenue of at least $10,000 to qualify for these loans.
Min. Loan Amount $500
Max. Loan Amount $500,000
APR Fee based, Prime pricing starting at 9.00%
Interest Rate Type Fixed
Pros
  • Fee based loan
  • Large loan amounts
  • No collateral required to qualify
  • Terms lasting up to five years
Cons
  • Steep competition for funds
  • Strict eligibility criteria
  • High annual revenue requirements

Best for quick loan approval: Company Capital Business Loan

N/A
Min. Credit Score
6.87%
Starting APR
$5,000
Loan Amount
Company Capital Business Loan offers term loans of up to $100,000 for businesses with interest rates ranging from 6.87% - 29%. Payments are made on a daily or weekly basis, eliminating the need to make a single, large payment at the end of the month. Loan terms range from 3-18 months. Applications can be approved in as little as 1-2 days.
Min. Loan Amount $5,000
Max. Loan Amount $100,000
APR Starting around 6.87%
Interest Rate Type Fixed
Pros
  • Simple application process and a high approval rate according to the Company Capital website.
  • Small daily or weekly payment plans eliminate the pressure of one large, monthly payment.
  • If approved, funding is available in as little as 1-2 days.
Cons
  • Not suitable for startups (must have been in business for at least 6 months and have revenues of at least $5,000 /month).
  • Short loan terms may make it more challenging for some businesses to repay large loan amounts.

How we picked the best business lenders

These lenders represent some of the more flexible and transparent options available to borrowers with good credit. To compile our list, we considered the loan types available, minimum and maximum APR, repayment terms and the loan amount.

Other business loans you can apply for today

Name Product Interest Rate Loan Amount Loan Term Minimum Revenue Minimum Time in Business Loans Offered
SharpShooter Funding Business Loan
Fee based, Prime pricing starting at 9.00%
$500 - $500,000
6 months - 5 years
$10,000 /month
24 months
Unsecured Term, Merchant cash advance
SharpShooter Funding offers loans up to $500,000 for small business owners who have been business for at least 2 years and can show a minimum of $10,000 in monthly deposits.

Who it might be good for: Business owners looking for a fast and simple application process.
Merchant Growth Business Loan
12.99% to 39.99%
$5,000 - $500,000
3-12 months
$10,000 /month
6 months
Unsecured Term, Line of credit, Merchant cash advance
Merchant Growth offers loans up to $500,000 for small business owners who have been business for at least 6 months and can show a minimum of $10,000 in monthly sales.

Who it might be good for: Business owners looking for flexible financing options.
Loans Canada Business Loan
Prime Pricing from 9.00%, Long term financing from Prime + 2.00%
$2,000 - $350,000
3 months - 5 years
$4,166 /month
100 days
Unsecured Term, Secured Term, Line of credit, Merchant cash advance, Equipment financing
Loans Canada connects Canadian small business owners to lenders offering up to $350,000. Borrowers must have been in business for at least 100 days, have a credit score of 410+ and show a minimum of $4,166 in monthly deposits ($50,000/year).

Who it might be good for: Business owners looking to use a broker to compare different financing options.
OnDeck Business Loan
8.00% – 29.00%
$5,000 - $300,000
6 - 18 months
$10,000 /month
6 months
Secured Term, Line of credit, Merchant cash advance
OnDeck offers loans up to $300,000 for small business owners working in approved industries who have been in business for at least 6 months with a minimum monthly revenue of $10,000.

Who it might be good for: Business owners looking to receive funds in as little as 24 hours.
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How to choose the best lender for your business

The best lender for your business depends on several factors, such as what type of financing you need, the time you have to spend on the application and what your business can qualify for. Follow these steps:

  1. Define your priorities. Ask yourself questions to figure out what’s the most important to you. For example, are low rates more important than speed? Knowing what you want out of a lender is key to narrowing down your choices.
  2. Compare types of lenders. Start your search by comparing different types of business financing and lenders to see which offer the type of financing you need — and which might accept your business.
  3. Compare actual lenders. Rule out any lenders that don’t offer the rates, terms and loan amounts you’re looking for or any provider you definitely can’t qualify with.
  4. Prequalify. Reach out to your top choices to get an estimate of the types of rates you might receive. With some lenders, you can prequalify by filling out an online form. Others might require a phone call.

Bottom line

Fair credit won’t stop you from qualifying for one of these top business loans. But you should still explore your full range of options to ensure you’re making the right financial move for your business.

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