Private Business Funding with Thinking Capital

Since 2006, we have been a private small businesses lender in Canada. As time has passed, we have vastly improved our ability to assess risk with a high level of accuracy. If you are a small business owner looking for debt financing, then you’ve come to the right place. Before you begin, it would be beneficial for you to understand how we assess you as a possible borrower. One key thing we look at is your capacity to repay the loan.

Business Funding Overview:

To determine your capacity to repay, we look at your business cash flow. This can be calculated from your business bank statements. We then look at how much other debt you have outstanding and your incoming cash flow. If adding our repayments to your current debt load will be greater than your incoming cash, then we would not be able to lend you more money. We also look at your credit history, which tells us how you have managed past debts.

Measuring risk

We provide debt financing, based on the borrower’s risk. As a small business owner borrowing money, you carry a level of risk for us. Small business lenders look at the maximum risk we think your business can manage and assign a dollar value to it. That is the maximum amount of money we can lend you. This ensures that the burden of the debt doesn’t cripple your day to day operations and we have a high likelihood of being paid back. This way everybody wins!

Note: We measure our risk using financial statements, and use it to set repayment terms, interest charges and fees for our borrowers. This gives you the money when you need it with the flexibility to pay back in small portions over time.

Credit History

The past credit history of the owner(s) is considered when assessing your business’ borrower’s risk. This shows us how often you have paid your past debts on time and what other debts you have outstanding. We will also look at any commercial credit bureau information that exists for your company. If your company is new or doesn’t have any credit history, then only your personal credit score is considered.

Monthly Business Revenue

Instead of relying only on your personal credit information, we also use your business attributes, such as incoming and outgoing transactions in your business bank account and look at how you run your business to determine your loan amount and approval. We use your business banking statements to help us understand your business’s revenues and regular activities. This is called a Revenue-Based Business loan.

Note: Some lenders also secure the funds they lend out by requiring the borrower to put up some sort of collateral. This isn’t necessarily true for all lenders (Thinking Capital asks for no upfront collateral).


Thinking Capital uses your monthly business revenues to provide you with a loan amount that you can pay back. This information is available on your business bank statements. Your business bank statements give us a clear measurement of your borrower’s capacity to borrow. We then determine your likelihood to pay back debts by looking at your personal credit score.

By assessing your financial statements with your credit information, we can determine the loan amount, interest rates, and the repayment terms and get you funded as fast as 24 hours.

Not sure if a private loan is a right option for you? Check out our post on making informed business decisions using your business financial statements. If you’re ready to apply, make sure you read our quick guide on how to get business funding!