Best Business Loans for 2021 in Canada

Smarter Loans recaps best places to get a small business loan in 2021. Compare best lenders and business loan rates. Choose optimal solution for your business development needs in 2021.

Your small business is your lifeblood, your baby, your #1 priority. Don’t worry – we get it! When it comes to having the money you need to keep your small business running, you want to make sure you’re getting financing from the right place. We’ve compiled the best small business loan providers for 2021, so you don’t have to look any further to find the best option for you and your business.


We wanted to give each lender an opportunity to share a message with the reader, so we reached out to each individual company and asked them to contribute a quote. It could be a valuable tip or something else that is important for you to know about their company. Below you will find the list of companies, receiving the Best Business Loans 2021 Award, and what each company had to share in their message to you.

Best Small Business Loans for 2020

All lenders listed on this page were selected based on the following criteria: 

1. They are licensed to operate in their provinces of service.

2. They have been in business for at least 2 years with a proven track-record and readily available customer support.

3. They exercise responsible lending practices and comply with Canadian underwriting and collection practices.

4. They are committed to safety and security and take all reasonable measures to protect customer data and personal information. Their online application process is conducted in a highly secure environment.

5. They have full, verified profiles on Smarter Loans.

6. They are recipients of the Smarter Loans Quality Badge

Compare Best Small Business Loan Lenders of 2021


Below you’ll find a detailed overview of top small business loan lenders, loan rates comparison, as well as answers to some frequently asked questions about small business loans. Before you pull the trigger on a loan, make sure you have all the info you need to make an informed decision. But, don’t worry, we’ve got you covered!

Lender Interest Rate Starting at: Loan Amounts Loan Term Available in Lender’s Profile
Thinking Capital 8.39% $5,000 – $300,000 6 – 12 Months All of Canada Visit profile
OnDeck Canada 8% $5,000 – $300,000 6 – 18 Months All of Canada Visit profile
2M7 Financial Varies $5,000 – $250,000 N/A All of Canada except Quebec Visit profile
Merchant Growth 12.99% $5,000 – $500,000 6 – 18 Months All of Canada Visit profile
CanaCap 29% $5,000 – $100,000 4 – 6 Months All of Canada except Quebec Visit profile
SharpShooter Funding 5.49% $4,000 – $300,000 6 – 60 Months All of Canada Visit profile
EFSA Capital Varies $10,000 – $250,000 3 – 12 Months All of Canada Visit profile
Company Capital 6.87% $5,000 – $100,000 3 – 18 Months All of Canada except Quebec Visit profile
Greenbox Capital 7.99% $3,000 – $500,000 3 – 12 Months All of Canada Visit profile
Accord Financial 8.95% $20,000 – $6.25 Million 36 – 48 Months All of Canada Visit profile
Lending Loop 5.9% $5,000 – $500,000 3 – 60 Months All of Canada Visit profile

Small Business Loan Lenders Profiles


The table of business lenders above gives a bird’s eye view of the financing options available, making it easy to compare interest rates, how much you can borrow, as well as the terms. However, every business is different, and some lenders may be more appropriate depending on the situation. To help you choose the right business loan company, we’ve written a brief overview on each one. We also asked each company to share a message with our readers, specifically for this article.

We hope this helps you decide which business lender is the right one for you. Have complete information usually results in better chances of getting approved for a loan, get the money fast, and have a smooth experience during the process.

Thinking Capital

Thinking Capital Business Loans

Amount you can access: $5,000 – $300,000
Rate: Starting at 8.39%
Terms: 6 – 12 Months

Thinking about a small business loan for your Canadian Business? You may want to check out Thinking Capital, the very first, and the largest, online small business lender in the great north. Thinking Capital has been in the business of lending for more than a decade and they’ve provided over a billion dollars in funding (yes that’s a B!). They’ve given over 15,000 small businesses the capital they need to grow and thrive.

Thinking Capital boasts reputable partnerships with financial institutions, payment providers and retailers. In addition to having the experience to back up their financing, they are also known for their speed of approval. Qualifying businesses can receive as much as $300k in 1 day.

With both fixed and flexible payment solutions, lenders can choose the option that’s right for them and their business. They offer a no-obligation quote allowing potential lenders to truly weigh their options.

Quote from Thinking Capital:

“At Thinking Capital, we are on a mission to equip small business owners with the tools they need to thrive. This goes beyond financing — it means supporting our customers every step of the way. But don’t just take it from us, take it from Derek: 

‘They have always been there for us. Their customer service skills are off the chart. I love Thinking Capital and wouldn’t go anywhere else.'”


Thinking Capital and Derek Creighton, Restaurant Owner and Valued Customer

OnDeck Canada

OnDeck Small Business Loans

Amount you can access: $5,000 – $300,000
Rate: Starting at 8%
Terms: 6 – 18 Months

OnDeck knows small business, and their main goal is to both support and empower them in everything they do. Since they began lending, OnDeck has funded over 100k businesses globally with over $12 Billion USD. They offer a variety of loans to support small businesses, including:

  • Fixed Term Loans (from $5K-$300k)
  • Lines of Credit (from $6K-$50K)
  • Flex Funds From ($5K-$300K)

OnDeck knows small business owners are always busy. So, they offer a simple application (which they promise won’t take more than 10 minutes), and turnaround time for approval in as little as 1 business day. Once you’re approved you can see funds in your account in as little as 24 hours. Cha-ching!

If you aren’t ready to fill out an application or are looking to gather more details and get support, OnDeck offers dedicated lending advisors. As their website says, “getting business financing shouldn’t feel like a second job”.

Quote from OnDeck Canada:

“When looking at your financial options for your small business, it’s important to understand that your time is of the essence – you have a right to fast and flexible financing the way you want it. Ensure your lender is being transparent, explaining what’s available to you and pricing in the simplest terms, not all products are apples to oranges. At OnDeck, we believe in simple, tailored, human solutions – just because it’s online doesn’t mean your experience shouldn’t be personal. We put our SMB owners at the center of what we do, because we know you’re always on the go – and you deserve business financing that understands your needs.”


Neil Wechsler, CEO, OnDeck Canada

2M7 Financial

Amount you can access: $5,000 – $250,000
Rate: Varies
Terms: N/A

2M7 Financial Solutions is an all Canadian alternative funding provider. 2M7 acknowledged that there was a noticeable decrease in the availability of funding for Canadian businesses over the past few years, so they made it their priority to find a solution.

2M7 developed a proprietary system which can evaluate the risk and determine credit worthiness as means to combat this growing problem, and for the past 9 years have been successful in doing so. Their mission is to make your experience as easy and seamless as possible. They strive to provide a simple and quick acquisition of your Merchant Cash Advance, as we know in times of need quick access to funds is very important.

Quote from 2M7 Financial:

“We provide cash advances to small and medium sized businesses in order to fund whatever need or opportunity arises.”



Merchant Growth

Merchant Growth Business Financing

Amount you can access: $5,000 – $500,000
Rate: Starting at 12.99%
Terms: 6 – 18 Months

For the last 10 years, Merchant Advance Capital has been offering Small Business Financing to small businesses around Canada. According to them, they are “one of Canada’s fastest and most friendly alternative financiers.” They have a wide range of financial options from as little as $5k to as much as $500k. Nervous about re-payment? They have flexible options that work for owners.

They believe in offering the best possible customer care while also leveraging technology to make their process seamless. They look at businesses as a whole an on an individual basis to give you the right options. They also have no hidden fees and are able to fund in as little as 24 hours. Sometimes numbers can be tricky, Merchant Advance Capital works hard to make sure you understand everything in front of you putting it in layman’s terms.


CanaCap Small Business Funding

Amount you can access: $5,000-$100,000
Rate: Starting at 29%
Terms: 4 – 6 Months

CanaCap believes in the Keep it Simple method. They have expert underwriters on staff who empower small business owners to get their money, FAST. CanaCap is saying ‘See Ya Later’ to mountains of paperwork, complications, and delays. It’s free to apply for approval and if you’re worried about being rejected, fear not. Unlike many banks with strict guidelines and restrictions, CanaCap approves 90% of the applications that come across their desks. Once approved, funds are deposited in 1-2 days.

CanaCap offers a variety of services for small business owners, including:

1. Merchant Cash Advance (MCA)
2. EFT Bank Only Advance
3. Factoring (PO & AR)
4. Payment Processing

Don’t worry about putting down collateral, CanaCap doesn’t require it. They believe in helping small businesses grow. Need to buy inventory, invest in equipment, build a website, or hire staff? A loan from CanaCap may be the answer.

Quote from CanaCap:

“While most funders are solely looking at data points to assess Risk, Revenue and Return, Canacap has a human approach in understanding the Three R’s. We engage the business owner in a phone interview; we want to hear what they have to say in words, we look past the data points, its about creating real connections!”



SharpShooter Funding



Amount you can access: $4,000 – $300,000
Rate: Starting at 5.49%
Terms: 6 – 60 Months

When it comes to small business, SharpShooter Funding stands by the old adage, ‘you need money to make money’. As we all know, small businesses need equipment, inventory, marketing, and funds to pay workers. With rising regulations at banks, it can be close to impossible for small business owners to get the funding they need. So, SharpShooter offers flexible terms with no collateral, no minimum credit score, and a higher than average approval rating.

SharpShooter offers up to $500k for businesses with just $200k in revenue. In addition to lending, SharpShooter offers a large selection of merchant services to assist with every small business owner’s needs. In order to meet the needs of every small business owner, they offer:

1. Unsecured Term Loans
2. Merchant Cash Advance
3. Line of Credit
4. Invoice Factoring
5. Point of Sale Financing

Nervous no one will approve you? SharpShooter gets creative with their options to meet your needs. They also have a 75% approval rating.

Quote from SharpShooter Funding:

“SharpShooter Funding is Canada’s “People’s Funder”. We are here, with a “Roll Up Your Sleeves, Hard Working, Entrepreneur Mindset”, in order to help you and your Canadian business grow monthly, quarterly and annually through our Small Business Funding approvals. Keep in mind, if you’re winning, then everyone is winning. Apply Today, work harder tomorrow and we will help you plan for growth moving into 2021!”


Paul Pitcher, Managing Partner, SharpShooter Funding

EFSA Capital

Amount you can access: $10,000-$250,000
Rate: Varies
Terms: 3 – 12 Months

EFSA Capital Inc. is an online financial provider that is Canadian owned and operated. They offer merchant cash advance to Canadian small and medium-sized business owners that need extra money for marketing activities, want to hire new specialists and employees, need new equipment, and more. They have flexible borrowing solutions that allow businesses to improve, grow, market, and invest.

Company Capital

Company Capital Small Business Loans Canada

Amount you can access: $5,000-$100,000
Rate: Starting at 6.87%
Terms: 3 – 18 Months

If you’re trying to keep it Canadian, Company Capital may be a good choice for you. Company Capital offers Business Loans, Merchant Cash Advance, and Business Line of Credit to small Canadian businesses. They offer services anywhere in Canada and are 100% Canadian privately owned. In order to give you the best rates possible, they cut out the ‘middle-man’ and offer the savings directly to their customers. In fact, they guarantee the best rates and service in Canada!

Sick of automated bots and text-only customer service? Company Capital offers real people who actually answer the phone! They offer easy application modes: you can apply via the phone, email, or online. Often times, your application will be approved in 24 hours and you will have money in your account within the next 24 hours.

Quote from Company Capital:

“At Company Capital we know “stuff happens” to your business all the time – road repairs blocks access to your store, your HVAC breaks down, or an unexpected growth opportunity arises – stuff you can’t explain to an automated system. That’s where we’re different. We have real people dedicated to every customer that actually listen to your story.”


Bruce Marshall, Vice President, Company Capital

Greenbox Capital

Amount you can access: $3,000 – $500,000
Rate: Starting at 7.99%
Terms: 3 – 12 Months

Greenbox Capital is an alternative lender supporting the growth of small businesses in Canada and the United States. When you work with us, you can be assured of getting fast funding with ongoing communication throughout the process.

Quote from Greenbox Capital:

“At Greenbox Capital, we fund with integrity and take a personalized approach to your funding needs.  It’s always people first.”


Greenbox Capital

Small Business Loan Frequently Asked Questions

How to qualify for a small business loan?

Your qualifications for a small business loan depend on the lender you are considering. Prepare the following:

1. A plan for how you will repay the funds. This answer will depend on the lender but it is important to know the amount you are willing to pay back on a monthly basis.

2. A plan for how you will use the funds. Have a written plan for how you will allocate the money for your business. Planning to open new office space? Break it down for the lenders, this will increase your chances for a successful loan application.

3. Your business credit score. Know your business credit score and bring evidence.

4. Your personal credit score. Most lenders are looking for a credit score of 700 or higher. They want to make sure you have a strong history of paying off balances and paying on time.

5. Your detailed business plan. As an entrepreneur, you know your business plan is your bible. Your lender will want to see how you plan to grow and scale your business. In order to consider your application, your business must seem viable.

6. Your business assets. Bring evidence of any assets you have in the business. These may be used as collateral for your loan.

7. Profit/Loss and Cashflow Statements. The lender needs to know how your business functions and how profitable it is. In order to prove this, you will need to provide several months (or years!) worth of financial data. Projected financials will also be beneficial for the lender.

8. Debt Statements. Does your business have debt? If so, the lender will want to know.

9. Personal finances and assets. As a business owner, the lender will want to know how fiscally responsible you are. Have bank statements and evidence of your assets ready to share.

Keep in mind: banks have rather strict guidelines when it comes to lending. Online lenders tend to have more relaxed rules. Typically businesses need to have a minimum of $100-200k in revenue, the most desirable business will have been profitable for over 2 years.

Are there business loans specifically for women-owned businesses?

Yes, women may be able to find lower rates and fewer fees with the help of a women-owned business loan. There are several resources Canadian women can take advantage of from peer to peer coaching to microloans and financing. Below are a few examples from

Who should take out a small business loan?

Small business loans can be used for everything from day to day operating expenses to rebranding and building a new website. Business loans are a great resource for small business owners who are looking to:

1. Expand business such as more land/properties, equipment, or staff.

2. Invest in marketing/outreach of your business.

3. Build a business credit score.

4. For Marketing purposes.

5. Looking to invest in new products.

I only need a small amount of money. Should I get a loan?

It depends! Some loan providers will lend as little as $1,000 for those who are qualified. However, keep in mind: you will have to pay back the loan with interest.

I’m a young entrepreneur (under 35) are there any programs designed for me?

Young entrepreneurs between the ages of 18 and 35 can take advantage of several special small business loan programs. In Quebec, there is the Youth Strategy Program CED-CFDC offering loans from $5000 to $15,000. In addition to funds, they offer special advising and assistance to blossoming entrepreneurs.

The Canadian Youth Business foundation also has different incentives to support entrepreneurs 18-24. One particular program includes small business loans up to $15,000.

What do I need to look for in a small business loan lender?

With an abundance of small business lenders, it’s important to do your homework before choosing the lender for your business. Be sure to keep in mind:

1. Interest rates. Companies offer a variety of interest rates based on a number of factors. Be sure to compare and contrast rates and other offerings. If you won’t be able to pay off your loan quickly, interest rates will matter more.

2. Fees. Some loan companies come with more fees than others. Be sure to always read the fine print.

3. Loan amounts available. Know exactly how much money you’re looking for in a loan. If you aren’t sure, you may need to do a bit more planning. Some online lenders can provide $500k and more, whereas others can provide as little as $1,000. It’s important to know exactly what you need before choosing a lender.

4. How fast you need funds. Several online lenders can process your application and transfer funds all in 48-72 hours! If you need money fast, prioritize speed and look for the faster lenders.

5. Eligibility. Take the time to read through lenders’ websites to see if you can apply for a loan. Some loan providers have strict guidelines with who they’ll lend to.
Special features or benefits of certain lenders. Online lenders have incentives and benefits for choosing their financing.

6. Company reputation. Look for Better Business Bureau distinctions, reviews, and online forums to discern which lender is best for your needs.

7. Repayment terms. Some lenders have a variety of repayment terms, whereas others can strict, unflexible terms. Know your know options before choosing a lender!

What are the different types of repayment terms?

Lenders have widely varying terms for repayment. Some offer monthly payments, others weekly and some even daily. Some will offer fixed terms and other lenders take a percentage based on sales. Be sure to read through the terms and conditions carefully to ensure the repayment option offered is right for you and your business.

What is the Interest Rate on Small Business Loans?

Interest rates vary widely from 5.49% on the low end to 39% (and higher) on the high end. Rates will typically vary based on your attractiveness as a loan candidate and your perceived ability to pay off the loan and the type of loan your choosing (line of credit, merchant advance, peer to peer, etc). Knowing the type of loan you want and your profile as a loan candidate is integral to finding the 2021’s best small business loan provider with the right rate for your business.

Canada’s Top Business Loan Providers

With Smarter Loans you can find any loan, for any purpose, anywhere in Canada. Whether you need money for a home project or to consolidate debt, help you easily compare lenders and their products without taking a hit to your credit score. Once you’ve reviewed the perks of each lender, pick a company of your choice or let Smarter Loans do the work for you. Smarter Loans only works with top quality, reputable lenders. We use a panel of industry experts to review and qualify Canada’s best business loan providers for 2021 so you can be sure we connect you with only the most trustworthy companies.



Authors and Contributors

Ramon Ray – Head Writer

Ramon was responsible for gathering research, data and analytics from various sources and presenting the findings in this article. Ramon is an entrepreneur who started four companies and sold two. He’s an author of four books, with the latest being, “Celebrity CEO – How Entrepreneurs can Thrive by Building Community and a Strong Personal Brand”.

Smarter Loans – Research, Data and Analytics

Smarter Loans helps Canadians make smarter financial decisions by educating them about Canada’s most innovative financial products, and connecting them with Canada’s top financial companies in a safe, fast and convenient way. Information in this article was compiled based on Smarter Loans profiles for each lender, as well as proprietary data and analytics. All lender profiles on Smarter Loans are reviewed and verified by the profiled companies for accuracy and most up to date information about products, services, fees, interest rates and other details.

Canadian Lenders – Quote Contributions

We reached out to every company on this list and asked them to contribute a quote to the article. We want to thank all the lenders that contributed to this article: Thinking Capital, OnDeck Canada, iCapital, Lendified, CanaCap, SharpShooter Funding and Company Capital.