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Flexible capital built for ecommerce.

Access long-term credit in CAD or USD that’s based on recent business performance so you can grow faster.

Get a Free Loop Account

No Dilution. No Royalties. No BS.

Leverage funding to grow your business without giving up equity or paying back with a % of your sales. Loop offers several capital products with APRs from 8 - 12% that enables companies to grow faster.

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Line of Credit

Access flexible long-term financing so you can invest in inventory or ad spend to grow your D2C sales.

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Purchase Order Financing

Let Loop pay the production costs of your purchase orders so you take on more business and grow faster.

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Invoice Financing

Don't wait 60 or 90 days for your buyers to pay their invoices. Provide your invoice to Loop and receive the funds immediately.

FAQ

How are Loop’s Capital products repaid?

Inventory-secured Line of Credit

Loop does not take a percentage of your revenue or a fixed dollar amount for repayment. You can both draw from and repay your line of credit at any time which gives you greater flexibility and ensures you only pay interest on the money you actually are usings. When you have a line of credit with Loop, we include a pre-scheduled monthly payment equal to 6% of the outstanding Line of Credit balance at the end of each monthly billing period - you are able to modify this amount but this ensures that a specific date for payment is provided once per month.

Purchase Order (PO) Financing or Invoice Financing

As the PO and Invoice is assigned to Loop, the repayment of PO and Invoice Financing will match the date for which payment is required on the Invoices from your customer.

What security is required for Loop’s Capital offerings?

Inventory-secured Line of Credit

Loop registers a purchase money security interest (PMSI) which means Loop has a security over any inventory held by the company. If the business’s revenue in the last 12 months is less than CAD $5,000,000 then a general guarantee will be required from the owner(s) of the business.

PO Financing or Invoice Financing

Loop registers a purchase money security interest (PMSI) which gives Loop a security against the specific receivable and requires the amount owing under the related invoice to be assigned to Loop.

What is the cost to borrow money?

Loop’s Capital products are flexible and affordable. There are two fees that may apply when accessing Loop’s Capital products. All capital products have an associated cost of borrowing which is the interest rate charged on the outstanding balance. Interest rates range from 0.8% - 2% per month. 

In order to maintain access to Loop’s Capital products, Loop also has a fixed monthly access fee which ranges from $79 to $499.

How is interest calculated?

Unlike many other capital providers, Loop only charges interest on the outstanding balance rather than a % of the total amount borrowed. This means that as you pay off your balance the amount of interest you pay also decreases. Interest is calculated monthly by taking the cumulative amount drawn during the respective monthly billing period and multiplying it by the applicable interest rate.

What documentation do I need to provide to get approved?

We have an easy, fully online application process for our capital products. Before you can apply for Loop Capital, we’ll require you to create and activate your Loop Account. In order to do so, you’ll need to connect Loop to your sales channel(s), provide some basic information about the business and have each of the directors/owners of the business provide consent. Once your Loop account is set up, reach out to us at capital@getloop.ca and we will provide you with a link to submit a brief application for Loop Capital which will include a few questions as well as a read-only connection to the business tax account through CRA. If you are applying for PO Financing or Invoice Financing we will need you to provide a copy of the purchase orders and invoices as well as the master purchase agreement with your customer(s).

How much capital can Loop provide?

Inventory-secured Line of Credit

Up to CAD $1,000,000.

PO Financing

Up to 70% of the purchase order.

Invoice Financing

Up to 95% of the invoice.

How do I access the capital from my Loop account?

Once approved, Capital will be available for you to access within your Loop dashboard. You can instantly use the funds from any of your capital products to send money to vendors, suppliers and/or other payees around the world using Loop Payments or easily move money to your bank accounts outside of Loop.

Start spending wherever you need

Purchase in multiple currencies without converting. Earn points on everything. Get super flexible spending.

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