Canada Small Business Financing Loan1 (CSBFL)
A government-sponsored loan program provides small businesses in Canada with a term loan of up to $1,000,000. This includes $500,000 for equipment, leasehold improvements, intangible assets, and working capital, with a cap of $150,000 specifically for intangible assets and working capital.
The benefits of Business loan
- Total loan available up to $1,000,000, with these subcategories:
-
Flexible Terms: Customized solutions to fit your unique situation
-
Up to $500,000 for financing equipment and/or leasehold improvements, including up to $150,000 for intangible assets and/or working capital.
- Financing covers up to 90% of the eligible costs for financed assets.
- Loan amortization terms:
-
Up to 15 years for loans covering equipment, leasehold improvements, intangible assets, working capital, and real property improvements.
-
Real property loans may have an extended amortization period of up to 25 years with a repayment schedule.
- Offers competitive fixed and floating interest rates with monthly repayment options.:
- Requires a personal guarantee, starting at 25% of the loan amount.
- One-time federal government registration fee of 2% of the loan amount, payable upfront or included in the loan (within the maximum limit for each loan category).
Requirements for a Government Loan under the CSBFL
- Your business operates, or is preparing to operate, in Canada.
- Your business has annual gross revenue under $10 million in the year of application.
- Your business is a for-profit enterprise, not a farm, charity, or religious organization.
- Purchased or improved assets must be used directly in your business operations.
- For more details and additional government requirements, visit the Industry Canada website.
Book a 30-minute intro call
Prefer to email? amit@mortgagebyamit.ca
