Your Credit Score Is Not
the Whole Story
Canadian businesses with bad credit get funded every day through lendflo. We look at your revenue, your cash flow, and your business — not just a three-digit number. fast decisions. No hard credit pull to apply.
What lendflo actually looks at:
Soft credit check only — zero impact on your score when you apply.
What We Look At Instead of Credit Score
Credit scores are one data point. Your business tells a bigger story — and that's what lendflo's lender network reads.
Monthly Revenue
Consistent $10K+/month is our primary qualifier. Strong revenue offsets low credit.
Time in Business
6+ months of operating history. The longer you've been running, the stronger your file.
Cash Flow Pattern
3 months of bank statements showing consistent deposits and manageable outflows.
Industry Type
Most Canadian industries qualify — restaurants, construction, trucking, retail, healthcare, and more.
Products Available for Bad Credit
Multiple products are available depending on your situation. Revenue-based is the most accessible — no credit score needed at all.
Revenue-Based Financing
No Credit Check$5K – $250K
No credit score minimum. Repayment flexes with your monthly revenue.
Asset-Based Financing
Collateral-Secured$50K – $5M
Equipment, receivables, or inventory you own secures the loan — credit is less critical.
Equipment Financing
Equipment as Security$10K – $500K
The equipment itself is collateral — credit requirements are lower than unsecured loans.
Business Term Loans
500+ Credit Score$25K – $2M
500+ credit score considered. Revenue history is weighted heavily.
Debunking 3 Bad Credit Myths
✗ "A bank decline means I can't get funded anywhere."
Bank declines are based on their rigid criteria — not your actual creditworthiness. lendflo's 50+ lender network uses different models. We fund businesses every day that major banks have declined.
✗ "I need a 680+ credit score to get a business loan in Canada."
Banks require 650–700+. Alternative lenders in lendflo's network consider scores from 500, and revenue-based financing has no score minimum at all.
✗ "Applying will hurt my credit score."
lendflo uses a soft credit inquiry for the initial application — zero impact on your score. A hard pull only happens when you formally accept a specific lender offer.
Bad Credit Business Loan: lendflo vs. Bank vs. BDC
| Factor | lendflo | Big Bank | BDC |
|---|---|---|---|
| Min. Credit Score | 500+ (RBF: None) | 650–700+ | 600+ |
| Decision Time | Fast | 2–4 Weeks | 4–12 Weeks |
| Bad Credit Welcome | ✓ Yes | ✗ Rarely | ✗ No |
| Revenue-Based Option | ✓ Yes | ✗ No | ✗ No |
| Cost to Apply | Free | Free | Free (but slow) |
| Typical Approval Rate | High | Low (for bad credit) | Low |
Frequently Asked Questions
We’re here to simplify your business financing journey, so you can feel confident every step of the way.
Yes. lendflo's network of alternative lenders approves Canadian businesses based on monthly revenue and cash flow, not just credit score. Credit scores from 500+ are considered. Revenue-based financing has no minimum credit score.
Through lendflo, most lenders consider scores from 500+ for term loans and equipment financing. Revenue-based financing products have no credit score minimum — approval is based on consistent monthly revenue of $10,000+.
No. lendflo's initial application uses a soft credit inquiry only — zero impact on your score. A hard credit pull occurs only when you accept a final lender offer with your explicit consent.
Revenue-based financing (RBF) repayment is a fixed percentage of your monthly revenue — payments flex with your cash flow. No minimum credit score. Available from $5,000 to $250,000 for businesses with consistent monthly revenue.
Through lendflo, decisions are made quickly. Funding is deposited to your Canadian business bank account shortly after accepting a lender offer.
Typically: 3 months of business bank statements, a voided business cheque, your CRA Business Number, and government-issued ID. No extensive financial statements required for revenue-based products.
Still have questions?
No obligation, just answers.
Your Credit Score Isn't the Final Answer
Apply free in 3 minutes. No hard credit pull. Fast decision.
How to improve your chances of approval
Six things that make a file easier for a lender to say yes to.
- Check your credit reports — personal and business, and dispute any errors.
- Gather complete bank statements — three to six months, up to date.
- Ask for an amount your revenue supports — lenders size offers to what you can repay.
- Keep personal and business spending apart — mixed accounts slow approvals.
- Explain unusual deposits or seasonal dips — a short note avoids questions.
- Know exactly what the money is for — and how it will pay for itself.
People also ask
Often, yes. Alternative lenders in lendflo’s network look at monthly revenue, cash flow and time in business, not only the credit score, and consider scores from 500. Expect a higher cost than a bank would charge, and compare offers before accepting.
lendflo’s initial review uses a soft credit check, which does not affect your score. A hard inquiry, which can lower it slightly, usually happens only when you go ahead with a specific lender’s final application. Ask each lender which kind of check it uses.
Ask why, fix what you can, then compare other routes: alternative lenders, equipment financing, revenue-based financing or invoice financing. A decline from one lender is not a verdict on your business, because lenders weigh different things.
Often, yes, especially for businesses under three years old, because lenders look at the owner’s personal credit as well as the business’s. Whether a personal guarantee is required depends on the lender and the product. Ask each lender before you sign, and read the offer for any guarantee or security clause.
Terms explained
What is a soft credit check?
A soft credit check, or soft inquiry, lets a lender look at your credit file without affecting your credit score. A hard inquiry, usually made when you proceed with a lender’s final application, can lower the score slightly. lendflo’s initial review uses a soft check.
See in the glossaryWhat is an unsecured business loan?
An unsecured business loan is a loan that does not require you to pledge specific assets as collateral. Lenders decide mainly on revenue, cash flow and credit instead. Because the lender takes more risk, the cost can be higher than for a secured loan, and a personal guarantee may still be requested.
See in the glossaryWhat is an alternative lender?
An alternative lender is a non-bank company that provides business financing, such as an online lender or a private lender. Alternative lenders typically decide faster and use broader criteria than banks, often looking at revenue and cash flow as well as credit, in exchange for a higher cost.
See in the glossaryTopic guide
In this guide: Credit and approval
Bad credit, bank refusals, credit scores and how to prepare a file lenders say yes to.
- Bank Rejected Business Loan Canada
- Bank Rejected Your Business Loan? What to Do
- Bad Credit Business Loans in Canada: 2026 Guide
- Understanding Your Business Credit Score in Canada
- Credit Score Needed for a Business Loan in Canada
- How to Build Business Credit in Canada Fast
- 5 Business Loans That Don't Need Good Credit
- 5 Alternative Financing Options After a Bank No
- Business Loan for a Sole Proprietor in Canada