What’s In This Email

• TLDR; The Ultimate Guide to Small Business Loans in Canada

• Drake Café brunch has the best pancakes

• Treewalk Village

• Notable Spotlight: The Lavazza IncluCity Canadian Film Festival

• Notable Plug 🔌 

✍️ TAKE NOTE

TLDR; The Ultimate Guide to Small Business Loans in Canada

This one is a bit longer than usual, so we kept today’s edition to one headline so you can still get your Notable Daily in a 5-minute read! We hope you find this guide useful.

Small business loans can provide the necessary capital for Canadian businesses to expand, hire staff, and upgrade technology. With various lending options available, entrepreneurs have multiple avenues to secure the funds they need to elevate their businesses.

Key Takeaways

• Types of Lenders: Small business loans can be obtained from traditional banks, online lenders, and the Business Development Bank of Canada (BDC).

• Bank Loans: Typically require a personal guarantee, good credit rating, and detailed financial documentation. They may have a slower approval process but offer clear terms and conditions.

• Online Lenders: Often have higher approval rates and faster processes, focusing more on business cash flow than personal credit scores. However, it's crucial to understand the loan's fees and annual percentage rate (APR).

• Credit Cards: Should be a last resort due to high interest rates but can be useful for short-term financing and building business credit.

• BDC Loans: Offer flexible terms and are tailored to small and medium-sized businesses in Canada. They require the business to be Canadian-based, in good credit standing, and operational for at least 24 months.

Loan Preparation Tips

• Business Credit Score: Understand how your business credit score is calculated, including credit utilization and repayment history.

• Personal Credit Score: Lenders will assess your credit score, so ensure it is in good standing.

• Financial Documentation: Gather financial statements, balance sheets, and bank statements to demonstrate your business's financial health.

• Collateral: Be prepared to provide assets as collateral if applying for a secured loan.

• Business Track Record: Most lenders prefer businesses with a proven history of revenue generation and financial stability.

Types of Small Business Loans

• Bank Loans: Directly from banks, these require good credit and collateral but offer lower interest rates and longer repayment terms.

• Secured Loans: Require collateral and offer better terms but pose a risk to your assets.

• Unsecured Loans: No collateral is needed but may have higher interest rates and stricter approval criteria.

• Government-Backed Loans: Programs like the Canada Small Business Financing Program (CSBFP) provide funding to businesses with annual revenues under $10 million.

• Merchant Cash Advance (MCA): Advances based on future sales, repaid through a percentage of daily sales, but typically come with higher interest rates.

Top Non-Bank Lenders

• Journey Capital: Offers fixed-term loans, lines of credit, and flex funds for businesses with at least $100,000 in annual revenue.

• Loans Canada: Provides access to a network of lenders with diverse loan options.

• Sharpshooter Funding: Offers MCAs, flex funding, and equipment financing.

• 2M7 Financial Solutions: Specializes in MCAs with a high approval rate.

• Lendified (now Merchant Growth): Provides loans up to $150,000 with quick approval.

• Lending Loop: Offers low-interest loans up to $500,000.

Why This Matters: Understanding the landscape of small business loans in Canada is crucial for making informed financial decisions. Whether you’re starting a new venture or expanding an existing one, knowing where and how to secure funding can significantly impact your business’s growth and sustainability. This guide provides the insights needed to navigate the various lending options and prepare effectively for the loan application process.

Read the full article here.

@ligorbunova

these pancakes were basically life-changing #torontobrunch #torontopatio #torontocafe #torontospots #torontothingstodo #todotoronto #toron... See more

xo_jennsjourney

View more on Instagram

Distillery District

The Lavazza IncluCity Canadian Film Festival

toronto_papi_

View more on Instagram

Until July 21st
Get Tickets

🔌  NOTABLE PLUG

🎙️ Get Into It: Radiolab podcast. Radiolab is on a curiosity bender. We ask deep questions and use investigative journalism to get the answers. A given episode might whirl you through science, legal history, and into the home of someone halfway across the world. The show is known for innovative sound design, smashing information into music. It is hosted by Lulu Miller and Latif Nasser. Listen on Apple or Spotify.

📄 Notable Hires: Social Media Strategist @ Superhuman (remote, Toronto)

🎓 Hope This Helps: SocialDude. Eliminate guesswork and wasted time by leveraging AI to generate targeted, brand-aligned content.

🌍 Notable Destinations: Toronto to North Carolina ($479 - $600) Dates: July 16 - July 24. Click on this link to see the deal.

🧠 Today We Learned: that Elizabeth I had a lot of missing teeth from eating too many sweets, making it difficult for foreign ambassadors to understand what she was saying.

We want to get to know you more! Take our community survey at your convenience. We appreciate you taking the time to help make Notable amazing!

Beyond Notable Daily
_________________

Editorial
Contact our editor 

Advertising
Contact our team

Marketing Services
Contact our agency


ABOUT NOTABLE
Notable Life is Canada for young professionals, entrepreneurs, and culture generators operated by The Notable Group. Notable Daily inspires ideas and sharpens the minds of over 40,000 top-tier professionals in competitive industries.

Disclosure: While we utilize artificial intelligence (AI) to assist with certain aspects of content development, all information provided in our content is thoroughly vetted and edited by our team of humans. We strive to ensure the accuracy and reliability of all information. However, we recommend that readers conduct research or seek professional advice to make informed decisions. This email may contain sponsored content.