your business needs
Business Financing
↗ Program
Up to 90% finance. The maximum loan amount is $1.15 million.
When you plan to start or grow your business, you feel barriers like:
- I want to start a new business. Who will provide the required financing?
- I want to buy used equipment. Does any Bank accept it?
- I have only 10% of the required money to purchase the equipment and make the renovations. How can I obtain 90% financing?
- I want to grow my business and increase the production capacity. Where can I get suitable financing?
Canada Small Business Financing Program
This government-guaranteed business financing program makes it easier for small businesses to get loans from financial institutions to purchase equipment, leasehold improvements, intangible assets, working capital, or buy a property for commercial uses.
Program Overview
What can be Financed?
Term loans can be used to finance the following costs:
- Purchase or improvement of land or buildings used for commercial purposes
- Purchase or improvement of new or used equipment
- Purchase of new or existing leasehold improvements, i.e., renovations to a leased property by a tenant
- Intangible assets and working capital costs
Available Financing
The maximum loan amount for a borrower is $1.15 million.
- Up to 90% of eligible purchases, which are subject to the following program maximums2:
- Up to $500,000 for leasehold improvements and/or equipment
- Up to $150,000 for intangible assets and working capital costs within the $500,000 leasehold and equipment limit
- Up to $1,000,000 for real property purchase or improvements
Program Eligibility
- You are an existing or new small business
- Your business operates or is about to operate in Canada
- Your gross or projected annual revenue is $10 million or less in the year you apply
- The assets purchased or improved must be used in your business
- You are not in the farming business
More details
Interest Rate
Variable-rate term loans: Bank’s prime plus 3%.
Fixed-rate term loans: Bank’s base rate plus 3%.
Registration Fee
2% of the loan amount is payable to the Government of Canada and is payable at the time of the loan advance.
This fee may be financed, subject to program loan maximums.
Key benefits
High LTV: Up to 90% of Eligible Purchases and Costs can be financed through CSBFP.
Government Guarantee: 85% of the loan is guaranteed by the Federal government.
Previous Purchases Are Eligible: Purchases made within the past 365 days before the date of the loan approval are eligible for financing.
Key benefits
High LTV: Up to 90% of Eligible Purchases and Costs can be financed through CSBFP.
Government Guarantee: 85% of the loan is guaranteed by the Federal government.
Previous Purchases Are Eligible: Purchases made within the past 365 days before the date of the loan approval are eligible for financing.
Helpful resources
Subject to complying with Lender’s lending policies and criteria including confirmation of acceptable personal credit history. Personal guarantee(s), security and additional documentation may be required. Other conditions may apply.
The customer is responsible for all fees and expenses incurred by the Bank or Lender. These fees and expenses shall include but not be limited to any administration fees, security registration, legal, appraisal and environmental assessment and related costs
“Related Borrowers” and “Eligible Costs” may limit how much a business may borrow. Definitions are found in the Canada Small Business Financing Act and Regulations.
Extent of guarantee is determined by Bank or Lender.
Additional government requirements exist.
