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Loans Canada Business Loan review

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Secure financing for your business when you compare lenders with this innovative online platform.

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.

Details

Product NameLoans Canada Business Loan
Benefit DescriptionCanadian small business owners can borrow up to $350,000 for their small business needs.
APRPrime Pricing from 9.00%, Long term financing from Prime + 2.00%
Min. Loan Amount$2,000
Max. Loan Amount$350,000
Loan Term3 months - 5 years
Loans OfferedUnsecured Term, Secured Term, Line of credit, Merchant cash advance, Equipment financing
Turnaround Time48 Hours
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More Info
  • Think about Loans Canada if you want to compare quotes from a variety of lenders or you’d like to qualify even with bad credit.
  • Pick something else if you want to borrow less than $2,000, or you don’t make a revenue higher than $4,166 /month.

Expert review

Loans Canada lets you compare lenders with one simple application using its online platform. All you have to do is fill out some information about your business along with a handful of personal details to get started. You’ll then be matched up to a handpicked list of lenders that will reach out to you to discuss your loan options.

Using the Loans Canada Business Loan comparison platform lets you pick the best deal for your personal situation. You’ll be able to borrow between $2,000 and $350,000, with terms lasting up to 5 years. Your interest rates will vary based on your credit score and other factors such as how long you’ve been in business.

First, do I qualify?

To be eligible for a Loans Canada Business Loan, your business must be a sole proprietorship, partnership or corporation that’s based in Canada. You’ll also need to be the age of majority in the province you apply from and have a credit score of at least 410.

As for your business, you’ll be required to show proof that you’ve been in operation for 100 or more days and that you make a revenue of $4,166 /month. You may also need to fulfill additional criteria based on factors such as how much you want to borrow.

What makes Loans Canada Business Loan unique?

Loans Canada Business Loans are unique because they connect you with a diverse network of lenders willing to give you competitive pricing for your loan. While Loans Canada doesn’t fund loans directly, it facilitates connections between you and the loan that best fits your budget and your unique set of needs.

This service also sets itself apart from similar platforms by offering high loan amounts and working with national and local lenders from across Canada so that you get a nice variety of suitable options. Applying for a loan takes only a couple of minutes, and you can get approved and financed in as little as 48 Hours in some cases.

What is a Loans Canada Business Loan?

Loans Canada Business Loans let you borrow money for all types of business expenses. You can borrow up to $350,000 at once, and your interest rates will vary based on factors such as your credit score and how much you want to borrow.

Depending on the complexity of your application, you may be approved for a loan in as little as 24 hours from the time that you apply. From there, you’ll usually get money deposited into your bank account within 48 Hours, and you can take up to 5 years to pay it back (depending on what terms you negotiate with your lender).

Loans Canada Business Loans also offer you special bonuses (and no penalties) for prepayment. You may also be able to lock in discounts for renewing your loan at a future date, and you could be rewarded for referring friends to the program.

Types of business loans

You’ll be able to apply for just about any type of business financing you’re interested in with Loans Canada Business Loan:

  • Commercial mortgages. Lets you borrow money to pay for land or property that you want to use for your business.
  • Business line of credit. Gives you a revolving pool of money to tap into when you need to cover seasonal shortfalls or deal with an emergency.
  • Equipment financing. Offers quick financing specifically designed to let you purchase new equipment for your business operations.
  • Inventory financing. Lets you access a secured line of credit or short-term loan that you can use to purchase business inventory.
  • Merchant cash advance. Gives you the ability to borrow against your incoming cash flow and then pay your debt back with a portion of your daily credit/debit card sales.
  • Government business loans. Allows you to borrow money that’s backed by the Canadian government so that you can start or grow your business.

What are the benefits of a Loans Canada Business Loan?

  • Simple application. It’s easy to apply for the loan you want from the comfort of your own home in a matter of minutes.
  • More choice. You’ll get quotes from multiple lenders to give you as many options as possible so that you can find the best loan for your needs.
  • Large amounts. You can apply for as much as $350,000 in financing with a single application.
  • Relatively easy to qualify. The eligibility criteria to qualify for a business loan isn’t overly strict and the monthly revenue requirements are fairly low.
  • Free service. There’s no fee to use Loans Canada‘s service since the company receives a commission directly from the lender you sign up with.
  • Many loan types. You can apply for all types of business loans including installment loans, lines of credit, commercial mortgages and merchant cash advances.
  • Referral service. You may be able to get a discount on your services if you refer friends and family to the program.
  • Easy prepayment. You’ll be able to prepay your loan without penalty, and you may even get a discount for doing so.

What to watch out for

  • Quotes come from affiliated providers. You’ll only get quotes from lenders affiliated with Loans Canada (which means you could miss out on better rates elsewhere).
  • No online quotes. You’ll be required to speak to a number of lenders about your loan options as you’ll get a call back from any lender you match with.
  • No physical locations. You won’t be able to go into a brick and mortar location to speak to an agent about your loan requirements.
  • Minimum credit score is required. You’ll have to submit to a credit check and you won’t qualify for a Loans Canada business loan unless your credit score is over 410.

How do I apply?

To apply for a Loans Canada Business Loan, you’ll need to submit your personal information in an online application. This will usually entail providing your name, phone number, address, business information and monthly revenue. You’ll also have to allow Loans Canada Business Loan to check your credit to make sure you meet minimum requirements.

You may also need to demonstrate that the assets you plan to purchase will be used in your business. Once your application is approved, you’ll be connected to a wide variety of lenders who might be willing to finance you. You’ll usually negotiate the terms and conditions of your loan with them directly once they contact you.

I got the loan. Now what?

Once the lender that you’ve settled on deposits your loan into your account, you’ll have to begin the process of repaying it. Your repayment terms and obligations should be outlined in your loan contract. This is where you can expect to find out the length of your term, how much you owe each month and when that money will come out of your account.

You might also be eligible to prepay your loan early without penalty if you’re interested in wiping out your debt as quickly as possible. You’ll just need to double-check with the lender you’re working with to find out if they allow prepayment without penalty.

Frequently asked questions

Compare other business loans

Name Product Interest Rate Loan Amount Loan Term Minimum Revenue Minimum Time in Business Loans Offered
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.
SharpShooter Funding Business Loan
Fee based, Prime pricing starting at 9.00%
$500 - $500,000
6 months - 5 years
$10,000 /month
6 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 6 months 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.
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