Compare small business loans in Nova Scotia

According to Finder research, many Nova Scotian businesses will need a loan to make ends meet in the wake of the pandemic. Getting the right loan can make all the difference for your bottom line. Find out more about where and how to apply for small business loans in Nova Scotia and compare lenders to find the best fit for you.

Compare small business loans in Nova Scotia

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Name	Product	Interest Rate	Loan Amount	Loan Term	Minimum Revenue	Minimum Time in Business	Loans Offered
Loans Canada Business Loan		6.60% - 29.00%	$4,000 - $300,000	3 - 60 months	$4,166 /month	100 days	Unsecured Term	To be eligible, you must have been in business for at least 100 days, have a Canadian business bank account and show a minimum of $4,166 in monthly deposits ($50,000/year). Loans Canada connects Canadian small business owners to lenders offering financing up to $300,000. Complete one simple online application and get matched with your loan options.	Go to site More Info	Compare	loading Fetching your data...
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	To be eligible, you must have been in business for at least 6 months with a minimum monthly revenue of $10,000. OnDeck offers fast and simple financing. Apply in less than 10 minutes with your basic business information and see your loan offers without hurting your credit score. Get approved within 1 business day, and choose your term, amount and payback schedule once approved.	Go to site More Info	Compare	loading Fetching your data...
Merchant Growth Business Loan		12.99% - 39.99%	$5,000 - $500,000	3 - 12 months	$10,000 /month	6 months	Unsecured Term, Line of Credit, Merchant Cash Advance	To be eligible, you must have been in business for at least 6 months and have a minimum of $10,000 in monthly sales. Merchant Growth offers financing tailored to business needs. It specializes in providing capital based on future cash flows, but it also offers fixed solutions. Fill out an application within 5 minutes and get your funds within 24 hours.	Go to site More Info	Compare	loading Fetching your data...

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Where to find business loans in Nova Scotia

There are a number of different places you can get small business loans in Nova Scotia. Learn more about each type of provider in the table below:

Are there any special financing programs to get small business loans in Nova Scotia?

Yes! Nova Scotia runs a guaranteed financing program through its credit unions. The government works with the Nova Scotia Co-operative Council and Atlantic Central to guarantee loans for small businesses. Getting a guaranteed loan can help you qualify for larger amounts with less strict eligibility requirements. Common features of these loans include:

• Terms up to 10 years
• Amounts up to $500,000
• Fees equal to 1% of total amount borrowed
• Most businesses eligible (except real estate companies or bars/taverns)

Am I eligible for small business loans in Nova Scotia?

You may need to meet the following criteria to qualify for small business loans in Nova Scotia:

• Be at least 19 years old (the age of majority in Nova Scotia)
• Be a Canadian citizen or a permanent resident with a valid Canadian address and a working bank account
• Have a registered business number and prove that you’ve been operational for 6 months (check out startup loans if you don’t meet these criteria)
• Provide financial records to show you can repay your loan
• Sign a personal guarantee in some cases

What is the cost of business loans in Nova Scotia?

The cost of small business loans in Nova Scotia varies widely based on how much you borrow. The following factors will help to determine how much you have to pay back:

• Principal. This is the amount you borrow without interest or fees. This amount will be deposited into your bank account when you take out the loan. Some loans will cap you at $100,000 while others may range between $250,000 and $1 million.
• Interest rates. Business loan interest rates are a percentage of how much you borrow and will depend on factors such as your credit score. They often range anywhere from 4% to 40%. You’ll usually get lower interest rates if you sign up for a secured or guaranteed loan.
• Fees. Lenders may charge fees to set up or maintain your loan. You’ll usually also need to pay fees to pay your loan off early or to make late payments.

How to apply for small business loans in Nova Scotia

You can follow the steps below to apply for small business loans in Nova Scotia:

1. Compare your options. Compare many different types of loan providers to see which one offers the best rates, terms and repayment schedule.
2. Prequalify for several loans. Apply to prequalify for several loans to get the best “real” rates (instead of comparing advertised rates which are more generic).
3. Choose the loan you want. Decide which loan will suit your needs best and request to move your application forward with that provider.
4. Fill out a more detailed application. Supply personal and financial information to your lender and agree to undergo a credit check.
5. Complete an interview. Book an interview to discuss your business plan and determine your eligibility (if required by your provider).
6. Wait for a decision. Wait for a decision on your loan application and provide any follow-up documentation that’s requested by your lender.

Helpful resources for business owners in Nova Scotia

Check out the following business resources if you need assistance to find additional financing:

Alternative solutions to getting a business loan in Nova Scotia

Learn more about the following options to get money for your business in Nova Scotia:

1. Merchant cash advance. Get a lump sum of cash and repay the amount you borrow based on a percentage of your business’s credit/debit card sales.
2. Business credit card. Take out a business credit card to cover smaller expenses but expect to pay higher interest rates if you hold an outstanding balance.
3. Business line of credit. Apply for a line of credit if you want a pool of money to borrow from whenever you need (and only pay interest when you dip into available funds).
4. Outside investors. Pitch your business to angel investors, launch a crowdfunding campaign or ask friends or family for a loan to get the capital you need.

Frequently asked questions

• How much small business loan can I get in Nova Scotia?

  You may be able to borrow between $10,000 and $1 million for your business in Nova Scotia. The true business loan amount you can borrow will depend on factors such as the size, age and revenue of your business. You should aim to get preapproved to get a true idea of the interest rates you’ll have to pay.

• Can I get a small business loan in Nova Scotia if I have bad credit?

  You can, but you may have fewer options. Borrowers who qualify should expect to pay much higher interest rates with bad credit. You can lower your rates by getting a cosigner or backing your loan with collateral. You may also get lower interest rates if you apply for a guaranteed loan through a local credit union.

• Can I get a business loan with no credit check?

  Most lenders will require a credit check if you’re taking out a business loan. This helps them to understand how likely you are to pay back your loan on time. Your best bet is to steer clear of companies that offer no credit check since they may charge extremely high rates or be running a fraudulent business.

• How fast can I get my business loan?

  You may be able to get your business loan in a matter of minutes or hours with an online provider, depending on the amount. You might have to wait days or weeks to get a business loan in Nova Scotia with a bank or credit union.