Government-backed loans
CSBFP and government-backed business loans
Government-backed programs can make it easier for small businesses, including start-ups, to borrow. We help you understand them and prepare your application.
- Broker, not a lender
- Canada-wide, Ontario focus
- Free initial consultation
- Replies within 24 hours
The Government of Canada supports small business lending in several ways. The best known is the Canada Small Business Financing Program (CSBFP), which shares the risk of eligible loans with private-sector lenders so that small businesses can get financing that might not otherwise be available, or only on less favourable terms.
The Business Development Bank of Canada (BDC), a federal Crown corporation, also lends to Canadian entrepreneurs.
Financing is subject to lender approval and eligibility. We don’t guarantee approval, rates or terms.
Vetri Group is a broker, not a lender. We charge clients a service or consulting fee for our help; lenders and funding partners make all credit decisions.
CSBFP at a glance
Based on the program’s published rules (check the Government of Canada CSBFP site for the current details):
- Open to most start-ups and existing small businesses in Canada with gross annual revenues of $10 million or less, including for-profit, not-for-profit and charitable businesses. Farming businesses are not eligible.
- Borrowers can finance up to $1.15 million in total: up to $1 million in term loans and up to $150,000 in lines of credit.
- Of the term loan amount, no more than $500,000 can be used for leasehold improvements and new or used equipment, and of that, up to $150,000 for intangible assets and working capital.
- Eligible uses include real property, equipment, leasehold improvements, intangible assets and working capital such as start-up costs and inventory.
- Loans are made by participating banks, credit unions and caisses populaires. The lender alone decides whether to approve the loan.
Who it can suit
- Start-ups that need to buy equipment or fit out premises
- Businesses buying or renovating a location
- Businesses expanding or modernizing
- Owners who don’t yet have the history or security a conventional loan would require
How we help
Government-backed loans still require a solid application: a clear purpose, realistic projections and complete documents. We help you work out whether a program is a good fit, prepare your business case and documents, and approach suitable participating lenders. We’re not part of the government and we don’t make the lending decision.
Documents lenders commonly ask for
Every lender is different, but having these ready usually speeds things up:
- Government-issued photo ID for each owner
- Business registration or articles of incorporation
- Recent business bank statements
- Financial statements and/or business tax returns for recent years
- A list of current business debts and payments
- Details of what the financing is for (quotes, invoices or a short plan)
How it works
How we help you get financing
Free consultation
Tell us what the money is for, roughly how much you need and when. We ask about your business, how long you’ve been operating and how it’s doing.
Review your options
We look at your situation and documents and talk through which kinds of financing may fit, including what each one is likely to cost and require.
Prepare the application
We help you put together a clear, complete application and approach lenders that suit your needs.
You decide
If a lender makes an offer, you review the amount, rate, fees, term and conditions before you sign anything. You’re never obliged to accept.
FAQ
CSBFP & Government-Backed Loans: common questions
Who is eligible for a CSBFP loan?
Most start-ups and existing small businesses in Canada with gross annual revenues of $10 million or less, except farming businesses. The participating lender also assesses your application as it would any loan.
How much can I borrow under the CSBFP?
The program maximum is $1.15 million per borrower: up to $1 million in term loans and up to $150,000 in lines of credit, with limits on how much can be used for equipment, leasehold improvements, intangible assets and working capital. The amount you actually get is agreed between you and the lender.
Do I apply to the government directly?
No. CSBFP loans are applied for through participating banks, credit unions and caisses populaires, which approve and disburse the loan and register it with the government.
Can start-ups get a CSBFP loan?
Yes, the program is open to start-ups as well as existing businesses. A clear business plan and realistic projections are especially important for new businesses.
Other financing options
Working Capital Financing
Cover payroll, inventory, rent and seasonal gaps while you wait on revenue.
Equipment Financing
Loans and leases for machinery, vehicles, kitchen, clinic and shop equipment.
Business Line of Credit
A revolving limit you draw on when you need it and repay as cash comes in.
Merchant Cash Advance
Funding repaid from future sales, through our affiliated funding partners. 3+ months in operation.
All business loans
Compare every type of business financing we can help with.
Ready to transform your business?
Take the first step towards growth. Book a free consultation today.