Business financing questions
Reviewed September 30, 2026. Definitions and primary sources are maintained in the Canadian business financing guide.
Is Canada Business Loan a lender?
Canada Business Loan is a marketplace/referral platform, not a lender. Providers determine eligibility, approval, pricing and terms. No approval, funding or timing is guaranteed.
Does completing a profile mean I qualify?
No. Educational suggestions and submitting an enquiry do not constitute approval. The applicable provider reviews the request and determines its own conditions.
What rates or funding times can I expect?
CBL does not publish a universal rate or decision-time promise. Ask the applicable provider for its current pricing, fees, total payments and process for your specific request.
What documents should I prepare?
Business financial statements, bank statements, a cash-flow forecast and existing debt details can help prepare a discussion. Specific project documents may also be useful. Confirm the provider’s actual requirements.
Can a government programme guarantee my approval?
No. CSBFP programme scope and ceilings are separate from the financial institution’s financing decision. CBL does not administer the programme.
Is a factor rate the same as APR?
No. A factor rate does not express time. Annualized cash-flow comparisons require payment timing and net proceeds; the calculator lab clearly states its assumptions and limitations.
What is business term loan?
A lump sum repaid over an agreed schedule. Payments and maturity are set by the contract; the rate may be fixed or variable.
What is business line of credit?
A revolving facility for drawing and repaying funds within a limit. Interest applies to the drawn balance; facility fees and renewal conditions may also apply.
What is working-capital financing?
Financing for operating cash-flow needs rather than a single asset. This is a purpose/category, which may be addressed through a loan or revolving facility.
What is equipment financing?
Financing the purchase of business equipment. An equipment loan supports ownership; the equipment may secure repayment.
What is equipment leasing?
Paying to use equipment under a lease contract. The lessor retains ownership during the lease; return and purchase options depend on the agreement.
What is invoice factoring?
Selling eligible receivables to obtain funds before customers pay. Fees, reserves, collections and recourse depend on the factoring contract.
What is invoice financing?
A broad label for funding supported by invoices. The label alone does not establish whether receivables are sold or pledged; inspect the agreement.
What is accounts-receivable financing?
A facility supported by qualifying accounts receivable. Availability can depend on a borrowing base, exclusions and ongoing reporting.
What is merchant cash advance?
Upfront funding structured around future sales or receivables. Some contracts purchase future receivables; remittances and reconciliation depend on the agreement.
What is asset-based lending?
Borrowing secured by business assets. A lender assesses collateral and may set a monitored borrowing base.
What is commercial mortgage?
A loan secured by commercial property. Property value and business repayment capacity are considered by the lender.
What is business-acquisition financing?
A financing package for buying an existing business. A transaction may combine buyer equity, senior debt, seller financing or other capital.
What is franchise financing?
A use-specific financing package for a franchise purchase or opening. The underlying products and assessment depend on the transaction, assets and operating plan.
What is purchase-order financing?
Funding connected to fulfilling a customer order. The provider reviews the order, delivery economics and payment arrangements.
What is government-supported financing?
Financing subject to a named government-supported programme. Programme rules and the financial institution’s credit assessment are separate.