What is a Business Loan?
A loan is a form of debt incurred by a small business. https://www.investopedia.com/terms/l/loan.asp#:~:text=A%20loan%20is%20a%20form,repayment%20date%2C%20and%20other%20conditions
The lender, usually a corporation, financial institution, or government, advances a sum of money to the borrower. In return, the borrower agrees to a certain set of terms including any finance charges, interest, repayment date, and other conditions. Most small businesses https://www.ic.gc.ca/eic/site/061.nsf/eng/03031.html request financing to purchase fixed assets and to support day to day working and operational capital expenditures. This could include cash flow, vehicles, upgrading equipment, inventory, renovations, staffing, marketing, tax payments, or supplier payments.