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Commercial Equipment Financing in Canada

  • chEquipment Loans from $10,000 - $10 Million
  • chRates starting from 7%
  • chApply online - Get offers from Top Lenders in Canada
up Last updated

October 12, 2025

up Written by:

Amy Orr

up Reviewed by:

Jenna West

Businesses across multiple industries rely on tools and machines to perform countless tasks, and equipment can come in all shapes and sizes. It can also come with big price tags. Fortunately, financing solutions can be very useful in ensuring a business can invest in and benefit from what they need.

Here at Smarter Loans, you’ll find the best, most reputable equipment financing companies in Canada. We can connect you with a provider for virtually any type of equipment finance, for any type of commercial equipment – whether it’s for construction, transportation, hospitality, food services, the beauty industry, or something else entirely. Customized solutions for your equipment financing needs are just a click away!

All you have to do is take a look at the list found on this page to see a variety of equipment financing lenders, their terms, interest rates and reviews. Once you’ve found a company you’d like to contact, click “Apply Now”. And if you’re not sure who to go with, pre-apply with Smarter Loans, and we will connect you with a lender to suit your needs.

Compare Lenders

AMOUNT
$5,000+
INTEREST RATE
Varies
TERMS
12 - 120 Months
AMOUNT
$15,000 and up
INTEREST RATE
5.5% - 14%
TERMS
12-84 months
AMOUNT
$5K - $1M
INTEREST RATE
5 to 25%
TERMS
6 to 48 months
AMOUNT
$10K - $1.5M
INTEREST RATE
From 7.99%
TERMS
3 - 24 Months
AMOUNT
$5K - $500K
INTEREST RATE
Varies
TERMS
4 - 12 Months
AMOUNT
$15K - $1M
INTEREST RATE
From 8%
TERMS
3 - 24 Months
AMOUNT
$5K - $500K
INTEREST RATE
From 7.99%
TERMS
6 - 24 Months
AMOUNT
$5K - $50M
INTEREST RATE
From 7%
TERMS
5 - 96 Months
AMOUNT
$5K - $2M
INTEREST RATE
From 7.99%
TERMS
2 - 36 Months
View More Lenders

Quick Links


  1. Understanding Your Equipment Financing Needs
  2. Understanding the Different Types of Equipment Financing
  3. Pros & Cons of Financing
  4. Financing Versus Leasing Equipment
  5. Pros & Cons of Leasing
  6. Who Can Get Business Equipment Financed?
  7. Frequently Asked Questions About Commercial Equipment Financing in Canada

Understanding Your Equipment Financing Needs


  • The piece of equipment you need, and whether it needs to be new equipment or can be obtained second-hand (as this will have a significant effect on cost and therefore your borrowing needs)
  • The useful life of that equipment (as this will impact what life of loan you are comfortable with)
  • Your current balance sheet and how the new equipment will affect it; does the value of the equipment as a company asset change anything?
  • How the equipment purchase will affect your operation
  • Whether the item can be resold at fair market value at a later date, if business operations change
  • If it can be used for other purposes or has limited usage
  • Whether its cost can be offset in any way
  • Whether you have a down payment for the purchase

All of these elements give you a starting place for comparing the funding options open to your business for its new equipment purchase.

Understanding the Different Types of Equipment Financing


Credit Based Financing

Collateral Based Financing

Cash Flow Based Financing

Pros & Cons of Financing


Pros

  • You own the equipment and are not limited in how you can use it
  • You can sell it if needed, as with all other business assets
  • Tax deductions may be available
  • Equipment can be used as collateral

Cons

  • Equipment may become outdated before you've finished paying it off
  • Can be harder to obtain a loan than a lease if you have bad credit
  • Upfront money may be required
  • Repair costs are your responsibility
If you're looking to upgrade your business equipment but don't have the funds upfront, explore equipment financing options here!

Financing Versus Leasing Equipment


Pros & Cons of Leasing


Pros

  • Allows more flexibility
  • Lets you upgrade equipment more easily
  • No down payments

Cons

  • You don't own the equipment and cannot resell
  • Less chance of tax breaks
  • Have to keep the equipment until the end of the lease
  • Possibly negative effect on your balance sheet thanks to lease payments
Learn more about the key differences between equipment financing and leasing, and make an informed decision on which option is best for your business needs.

Who Can Get Business Equipment Financed?


  • Hospitality
  • Transportation
  • Fitness
  • Office work
  • Agriculture
  • Construction
  • Landscaping
  • Wellness
  • Forestry
  • Mining

Businesses in these or any other commercial industry can apply for lease financing or traditional financing to give them access to the assets they need to operate successfully.

Don't let a lack of funds hold your business back - apply for a commercial equipment loan today and access the equipment you need to grow and thrive.

Frequently Asked Questions About Commercial Equipment Financing in Canada


What's a typical interest rate for commercial equipment loans?

Are loans for business equipment tax deductible?

What's the difference between asset finance and equipment finance?

What credit score is needed for an equipment loan?

Which is better: leases or purchase financing?

What's a sale leaseback?

Can I get purchase financing from my bank?

Expert Review & Editorial Standards

This page was researched, written, and reviewed by financial professionals with expertise in Canadian lending regulations. All information is regularly updated to reflect current rates, terms, and regulatory changes.

Jenna West
Reviewed By

Jenna West

Financial Writer & Content Director

Jenna has covered the Canadian FinTech and consumer lending industry since 2017. She specializes in regulatory updates, consumer protection, and helping Canadians navigate complex financial products.

  • 8+ years analyzing Canadian consumer lending
  • Monitors FCAC and provincial regulatory changes
  • Specializes in personal loans and alternative lending
Amy Orr
Written By

Amy Orr

Financial Content Specialist

Amy is a financial writer with 10+ years covering Canadian, U.S., and U.K. financial markets. She holds a Masters in Finance from the University of Edinburgh Business School and formerly worked in the hedge fund sector.

  • Masters in Finance, University of Edinburgh
  • Former hedge fund professional
  • Published in major financial publications

About Smarter Loans

Canada's independent lending comparison platform since 2016. Trusted by over 2 million Canadians and recognized by the Toronto Star as "the GPS of FinTech Lending." Featured in the National Post and major Canadian publications.

Verified Lenders Only All lenders verified for proper licensing and regulatory compliance
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Regular Updates Content monitored and updated for rate changes and new regulations
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Our Editorial Process

Every page undergoes research, expert writing, fact-checking, and review by our Financial Content Director. We verify all rates, terms, and regulatory information against official sources including FCAC guidelines and provincial lending regulations.

Last Updated: October 12, 2025 | Next Review: Ongoing monitoring

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