The Power of the Government of the Canada Small Business Financing Loan – SBL 101 !

Power – The dictionary defines it as the possession of control. You want it? We’re going to give it to you as it relates to the government of Canada Small Business Financing Loan… we affectionately call it the ‘ SBL ‘! (That’s small business loan by the way …)

So clients are always asking whats so great about the program? We’ll give you thing things, actually four! Rate, term, structure, and by the way, a very limited (in our opinion) personal guarantee.

Industry Canada is the government agency that sponsors this great loan program. We’re sure the department is staffed by some great people – it must be, because it’s a great program, right? However, you are never going to really meet these folks, as the government has chartered the Canadian banks and other miscellaneous financial institutions to run the SBL loan program on their behalf. So essentially its small business financing at the street level, which is right where you want it.

So how does the program work…? In fact an even better question might be why this type of financing should appeal to your firm.

The bottom line is that your firm is a ‘ for profit ‘ (we’re all for profit!) company and are either a start up or revenues under 5 Million dollars then you are a prime candidate for a government SBL small business financing loan.

So why banks don’t just makes these types of loans without all the government backing. Simply because (and we think you might have experienced this already) you might not qualify for what us folks in the real world of Canadian business financing call ‘ traditional financing ‘. Traditional of course refers to borrowers who are viewed as strong applicants because of high net worth, ultra solid personal credit history, strong balance sheets, and outside collateral. Who wouldn’t have problems coming up with those these days?!

The Canada Small Business Financing program in fact is very specifically designed to appeal to borrowers such as yourself who perhaps might not qualify for the traditional financing and criteria we’ve just spoken about.

I don’t think we have ever had a client meeting where the question ‘ how much can we get?” comes up. Our answer, plenty! If in fact you think 350,000.00 $ is plenty – we do. That’s the current cap on the program – but we’ll share a tiny secret here, if you were to utilize the program for a real estate purchase for your business the program caps out at 500,000.00$ . Wow!

Sounds great so far? We have always thought so, so bringing new converts on board is a pleasure. Seek out a trusted, credible and experienced Canadian business financing advisor. You’ll then focus on how the program works, if you qualify, next steps, structure, and finally, your approval!