Key facts at a glance
- Facilities arranged: working-capital lines and term loans from $100,000 to $50 million+, asset-based revolvers, equipment and receivable financing, real-estate-secured business loans, CRA-arrears refinancing, and interim/DIP capital for companies in restructuring.
- Who it is for: Ontario owner-managed businesses – manufacturing, distribution, construction, trucking and logistics, hospitality, professional practices, developers – that have been declined or cut back by a bank, are growing faster than the bank will fund, or need to move in weeks, not months.
- Approval is on assets and cash flow, not just the last tax return: receivables, inventory, equipment, real estate and contracts carry the file; bruised credit or a bad year does not end it.
- Speed: term sheet in days, funding in 2-6 weeks depending on the collateral; real-estate-secured business loans in as fast as 24 hours.
- One online application (apply.gaheer.com, Working Capital / Line of Credit) with document upload; I match the file to the lender, from Canadian banks and credit unions to private credit funds.
- Gurpinder Gaheer, BA Hons, MBA – Mortgage Broker #M22004577, CreditReboot Mortgages, FSRA Brokerage #13163; Real Estate Broker, Right at Home Realty, Brokerage.
Quick answer: “Business capital” is the umbrella for every way an Ontario company raises money other than selling equity: an operating line, a term loan, an asset-based revolver, equipment or receivable financing, a loan secured by the company’s or the owner’s real estate, or interim capital during a restructuring. Banks fund the easy version of each. I arrange the rest – the file that has a story, a deadline, CRA arrears, a tariff hit, a lender that pulled the line, or growth the bank will not keep up with – with the lenders that price risk instead of declining it.
The types of business financing, and when each one fits
- Operating line / revolver – day-to-day liquidity against receivables and inventory. Bank lines are cheapest but covenant-heavy; an asset-based line advances more (75-90% of eligible receivables) with fewer covenants.
- Term loan – a fixed amount repaid over 2-7 years for expansion, acquisition, buy-outs or refinancing; secured by the business’s assets and often the owner’s guarantee.
- Equipment financing and leasing – trucks, machinery, construction and medical equipment, 60-100% of cost over the asset’s life; sale-leasebacks of owned equipment release cash.
- Receivable financing / factoring – immediate cash against invoices, useful for government and large-corporate customers that pay in 60-90 days; costs more than a line, closes in days.
- Real-estate-secured business loan – a first or second mortgage on commercial or residential property owned by the company or the owner, used to fund the business, clear CRA arrears, or bridge a receivable. Fastest route, often 24 hours to approval – see private mortgage lenders in Ontario.
- Purchase-order and contract financing – funds supplier costs on confirmed orders for distributors and manufacturers.
- Interim / DIP and restructuring capital – court-approved or forbearance-period financing when the company is in default; see DIP financing in Ontario.
- What I steer clients away from: merchant cash advances and daily-debit loans. They are the most expensive money in Canada and they usually make the next refinance harder.
What lenders look at
- Cash flow: 12-24 months of bank statements, year-end financials, interim statements, aged receivables and payables, and a 12-month forecast.
- Collateral: receivables (quality of customers, concentration, dilution), inventory (type, turnover), equipment (appraised orderly-liquidation value), real estate (appraisal), contracts.
- The owner: experience, net worth, personal guarantee, credit history explained in context.
- The story: why the capital is needed, what it produces, and how it is repaid – growth, a contract, a turnaround, a sale.
- CRA status: up-to-date HST and source deductions, or a plan to clear them inside the financing.
Situations I see every week in Ontario
- The bank reduced or cancelled the operating line after a weak year or a covenant miss.
- A trucking, construction or manufacturing company hit by tariffs, a lost customer or a slow-paying contract needs 6-12 months of runway.
- CRA arrears (HST or payroll) have grown to the point where the bank will not renew, and the only clean collateral is the owner’s building or home.
- A business needs to close an acquisition, buy out a partner or fund a large order within 30 days.
- A developer or contractor needs working capital between draws, holdbacks and final payment.
- A business is in forbearance or facing a receivership and needs capital to execute a sale or a plan.
How the application works
- Apply online at apply.gaheer.com (choose Working Capital / Line of Credit) or send the basics by WhatsApp: what you need, what it is for, what the company owns, and the last year-end.
- Same-day call to confirm the structure that fits and the lenders that will look at it.
- Term sheet in 2-7 days; underwriting, field exam or appraisal where required; funding in 2-6 weeks (real-estate-secured in as fast as 24 hours).
- Full cost of borrowing – rate, lender fee, broker fee, legal – disclosed in writing before you sign anything.
Need working capital, a term loan or a facility the bank would not give you?
Frequently asked questions
Can I get a business loan in Ontario if the bank said no?
Usually, if the business has cash flow or assets. Alternative and private lenders underwrite receivables, inventory, equipment and real estate rather than the covenant tests that banks use, and they will look past a bad year or bruised credit when the story and the collateral make sense.
How fast can business financing close?
Receivable financing and real-estate-secured business loans close in days (as fast as 24 hours for approval on a property-secured loan). Asset-based lines and term loans take 2-6 weeks because of field exams and appraisals. Bank term loans typically take 6-12 weeks.
What is the minimum and maximum amount?
Practical facilities start around $100,000 for real-estate-secured and equipment loans and $250,000-$500,000 for asset-based lines, and run to $50 million and beyond for larger companies and syndicated facilities.
Will CRA arrears stop me from getting financing?
Not necessarily, but they must be dealt with inside the financing because CRA deemed trusts rank ahead of lenders. Refinancing specifically to clear HST or payroll arrears is one of the most common business-capital files in Ontario.
Do I need to put up my house?
Not always. Asset-based, equipment and receivable facilities are secured by the business’s own assets. Owner real estate is used when the business assets are thin, when speed matters, or when CRA arrears need to be cleared quickly; it is also usually the cheapest money available to a stressed company.
What does alternative business financing cost?
Rates sit above bank pricing and vary with the collateral, term and risk; there is normally a lender fee and a broker fee at funding. Every proposal comes with the full cost of borrowing in writing, and I will tell you when a bank or BDC product is the better answer.