Capital is essential for almost all businesses; it is the lifeblood of small businesses. Most entrepreneurs cannot start a new business or grow their existing companies without adequate financing through micro loans, commercial lending, or investment capital. Truly, access to capital is so critical for small businesses to thrive.

Early-stage companies occasionally need capital assistance to stay afloat and finance their day-to-day operations. Despite this, many small businesses and startups find it difficult to get access to capital.

For some businesses, the capital necessary for operating come from bank loans, Small Business Association loans, or even personal credit cards. Even though there are plenty of alternative ways to access capital.

• Though the Canada Small Business Financing Program, small businesses can easily get loans from financial institutions by sharing the risk with lenders. The loans can be used to finance certain costs. Up to a maximum of $1,000,000 for one borrower. 
• Equipment financing and leasing – get up to 100% financing for new or used equipment. Industries that qualify are agriculture, transportation, construction, manufacturing, mining and oil & gas industry, and forestry 
• Business line of credit 
• Working capital loan 
• Business term loan 

EQUITY

There are a range of equity investment sources, from private equity to angel investments.

Loans

Loans are a very common way to get access to capital and with loans is the fact that you don’t need to relinquish any equity in your business.

Crowdfunding

crowdfunding is about engaging “crowds” to co-fund business ideas and ventures, often in exchange for equity in the business.