Best Private Business Loans in Canada

Finding the right private business loan to meet your needs can be a challenge. There are a lot of options out there for small and medium businesses looking for a private business loan in Canada, but we’ve done the hard part for you and found the best-in-class lenders through several categories, including startup funding, flexible loans and more.

Best private business loan for flexible financing

Sometimes your typical business loan just can’t meet all of your unique business needs. In that case, finding the perfect financial solution can be a challenge. Lenders that specialize in customized, flexible funding solutions are familiar with all manner of business financing and can help you tick all those boxes via a single loan application.

Advance Funds Network

8.1 Great

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$10,000 – $1,000,000

Loan Amount

Starting at 8%

APR

3 – 24 months

Term

• Info
• Pros/cons
• Details

Advance Funds Network (AFN) has been lending since 2007, serving businesses across Canada and the US. It's particularly well-regarded for its accessibility, often helping businesses that might have been turned away by traditional banks.

Why it's one of the best

Variety of loans. Depending on your needs, you can get a business term loan, working capital loan, business line of credit, equipment loan, merchant cash advance or debt consolidation loan.

Flexible loan amounts. Borrow as little as $10,000 and as much as $1,000,000.

Fast funding. Get funding in just 24 hours with no hidden fees.

• Easy online application
• Repay weekly, bi-weekly or monthly
• High loan amounts

• Higher rates for lower credit scores
• Must have deposits of at least $20,000/month

APR	Starting at 8.00%
Loan Amount	$10,000 – $1,000,000
Loan Term	3 – 24 months
Loans Offered	Unsecured Term Secured Term Line of credit Merchant cash advance Equipment financing
Min. Credit Score	500
Turnaround Time	As fast as 4 hours
Serviced Provinces/Territories	Canada-wide
Requirements	minimum of 6 months in business with an annual revenue of at least $120,000

Best private business loan with a seamless online process

These days, walking into a local bank branch and applying for a business loan in person is no longer your only option. Now you can apply online, get a decision and receive funding via direct deposit. Lenders that offer this benefit make the process as easy as possible, with fewer documents required, but you might encounter higher rates than those from traditional banks.

Journey Capital

8.6 Great

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$10,500 – $500,000

Loan Amount

8% – 29%

APR

6 – 24 months

Term

• Info
• Pros/cons
• Details

Based in Québec, Journey Capital specializes in online business loans for small and medium businesses. It previously operated as OnDeck Canada, which launched in 2009.

Why it's one of the best

Good loan amounts. A loan with Journey Capital can help you access up to $500,000 in business funding.

Easy application & funding. Apply once for three types of loans, and get a quote without paying an application fee or going through a hard credit check. Receive funding in as little as 24 hours.

Reasonable eligibility requirements. You can apply if you've been in business for 6 months and make $120,000 in annual revenue.

• No-obligation quote
• Easy online process
• Competitive starting rate

• Minimum credit score of 550
• High rates for lower credit scores

APR	8% – 29%
Loan Amount	$10,500 – $500,000
Loan Term	6 – 24 months
Loans Offered	Unsecured Term Secured Term Line of credit Merchant cash advance
Min. Credit Score	550
Turnaround Time	in as little as 24 hours
Serviced Provinces/Territories	All provinces and territories
Requirements	- 6 months in business - Minimum $120,000 annual gross revenue - 550+ credit score

Best fast private business loan

Most online lenders provide a quick application and approval process, which can be a priority if your business suddenly hits a financial wall. You can typically access reliable business loan funding within 24 hours, depending on the lender and the details of your application.

Merchant Growth

7.9 Great

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$5,000 – $800,000

Loan Amount

12.99% – 39.99%

APR

6 – 24 months

Term

• Info
• Pros/cons
• Details

Merchant Growth has been active since 2009, providing customized business loans that are ideal for small- to medium-sized businesses.

Why it's one of the best

High funding. With Merchant Growth, you can secure loan funding of up to $800,000 for your small to medium business.

Quick funding. Funds will be sent in as little as six hours after approval.

Multiple financing options. In addition to a traditional business loan, Merchant Growth also offers lines of credit and merchant cash advances.

• Multiple financing options
• Quick funding
• Strong customer reputation

• Requires $10,000 revenue p/m
• No mobile app
• Potentially high interest rates

APR	12.99% – 39.99%
Loan Amount	$5,000 – $800,000
Loan Term	6 – 24 months
Loans Offered	Unsecured Term Line of credit Merchant cash advance
Min. Credit Score	550
Turnaround Time	as little as 6 hours
Serviced Provinces/Territories	All of Canada
Requirements	- Operating for at least 6 months - Canadian based business - 550+ credit score - $10,000 in monthly sales

Best private lender for bad credit business loans

Finding the right loan for your business can be a challenge, even more so when you’re struggling with a low credit score or little credit history. If this is your situation, prioritize reducing the time and effort spent applying to multiple lenders that might not approve you.

Loans Canada

8.1 Great

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$500 – $50,000

Loan Amount

9.99% – 35%

APR

4 - 60 months

Term

• Info
• Pros/cons
• Details

Loans Canada, established in 2012, is one of Canada's standout loan comparison platforms. Offering access to a large network of lenders via a single application, Loans Canada can help business owners secure the right financing.

Why it's one of the best

Large lending network. Loans Canada allows users to access a large lending database through just a single application, giving you the chance to find the best deal as quickly as possible, even if your credit score isn't the best.

Free and easy service. Applying is quick, easy and best of all, totally free, as Loans Canada will receive a commission directly from any lender you sign up with.

Bad credit business loans available. You can apply for a loan through this platform even with bad credit or little or no credit history.

• Save time and effort
• Good and bad credit options
• Easily compare multiple loans
• Multiple loan types

• High rates for bad credit
• Not a direct lender
• You're limited to its network
• Watch for scammers posing as Loans Canada

APR	9.99% - 35.00%
Loan Amount	$500 - $50,000
Loan Term	4 - 60 months
Loans Offered	Unsecured Term
Min. Credit Score	410
Turnaround Time	48 Hours
Serviced Provinces/Territories	All provinces
Requirements	- Operating for at least 9 months - Operating Canadian Business Bank Account - Over $10,000 in monthly sales ($120,000/year)

Best private lender for business term loans

A business term loan provides a lump sum of money up front that is repaid over a fixed schedule, offering a predictable structure for managing long-term debt. They are useful for financing major growth initiatives because they allow you to spread large costs over a few years while preserving your daily operational cash flow.

Driven

8.2 Great

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$10,000 – $500,000

Loan Amount

Starting at 11%

APR

3 - 24 months

Term

• Info
• Pros/cons
• Details

Driven Financial is Canada's largest non-bank small business lender. Established in 2006, it aims to offer transparent financing solutions with a straightforward online application process.

Why it's one of the best

Flexible loan amounts. Business owners can secure $10,000 to $500,000 in loan funding. Once you're approved for a specific amount, you can borrow as much or as little of that amount as you need.

Varying terms. With Driven you can benefit from a term range of 3 - 24 months.

Use for diverse needs. A business loan from Driven lets you cover almost any business expense as needed.

• Flexible loan amounts and terms
• No hidden fees
• 24/7 customer support

• Late and NSF fees
• Only certain industries are eligible

APR	N/A
Loan Amount	$10,000 - $500,000
Loan Term	3 - 24 months
Loans Offered	Unsecured Term Line of credit Merchant cash advance
Min. Credit Score	600
Turnaround Time	24-48 hours
Serviced Provinces/Territories	All of Canada
Requirements	- Canadian business with 600+ credit score - In business for at least 6 months - Average monthly sales of $7,000+ - Business bank account - Business operating in Canada

How we selected the best private business loans in Canada

We chose the products on this page based on the providers available through Finder and online in the Canadian business loans marketplace. These loans are not representative of the entire market.

When choosing the best private small business loans, we considered each lender’s APRs, loan amounts, loan terms, turnaround time, fees, transparency, customer service, ease of application and perks. No single business loan will be the best choice for everyone, so compare your options before applying.

How to get approved for private small business loans

Securing the perfect financing offer for your small business is a big deal. No matter how your business is doing, you can improve your chances of getting approved for your dream private loan by following these tips:

Check your credit report

In addition to knowing what your credit score currently is, it’s important that you dig into your credit report to get the full picture. You can also check for any mistakes which could be dragging down your score.

Prepare your business plan

Having a plan for the next 6–18 months can help you get approved. Lenders will be looking for a business plan that’s clear and detailed, containing comprehensive market analysis, a convincing funding request and above all, a strong presentation of your business’s projected finances, including cash flow, profitability and stability.

Look for prequalification

Prequalifying for your business loan will reduce the risk of a hard credit check damaging your score, and it can help you assess your options before making a commitment.

Consider collateral

Many small business lenders require that you put forward some form of collateral to secure the loan and reduce their risk. If that’s an option for you, it can potentially help you access better interest rates.

Document cash flow

Unless you’re applying for a startup loan, you’ll want to document your business cash flow over at least six months to improve your chance of approval.

Bottom line

Every business is unique, and that means finding the right private business loan for you requires robust and flexible service. Whether you are prioritizing fast funding, bad credit financing or looking for a startup loan, comparing the lenders above is the first stop on the road to securing your ideal private business loan.

Frequently asked questions

• What is the average interest rate for a business loan in Canada?

  The average business loan rate according to Statistics Canada is 4.40%. Learn more about business loan rates.

• What are some private lenders of business loans with branches in Edmonton?

  ATB Financial, Max Capital Financial and Blue Copper Capital all offer business and commercial funding with branches in Edmonton.

Written by

Steven Brennan

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Steven Brennan is a freelance finance writer working from Vancouver, B.C. He has a BA and an MA in English Literature at the University of Ireland, Maynooth, and also spent time working in Italy and Vietnam as an English teacher. Today, he writes regularly on a range of personal finance topics including banking, loans, mortgages, insurance and tax. His work has appeared on sites such as LowestRates.ca and WealthRocket, as well as in print with Canadian MoneySaver. See full bio

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Leanne Escobal

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Leanne Escobal is a senior publisher at Finder with more than 13 years of experience in financial products and services, with a focus on content strategy and marketing. She has completed the Canadian Securities Course (CSC®) as well as the Personal Lending and Mortgages course through the Canadian Securities Institute. Leanne holds a Bachelor of Arts (Honours) in English literature and creative writing from Western University. See full bio

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