Having poor credit will make it more difficult to get a loan for your business, but not impossible.
Banks will consider a series of factors when assessing whether to give you a business loan. These include understanding the needs of your business, the project for which the loan is required, your business’s current financial situation as well as your personal credit score and net worth.
“A business’s financial situation is the most important factor we consider when deciding whether to approve a loan,” says Darryl Curtis, BDC Business Centre Manager in Meadowvale, Ontario. “It’s a judgment call. If a business is super strong, growing and has positive long-term prospects, the owner might have a bad personal credit rating and still get a loan.”