Short-Term Loans and Line of Credit
Short-term financing solutions to help your business grow
Operating line of credit1
A line of credit can help you manage your cash flow and take advantage of business opportunities.
- Can be repaid at any time based on your cash inflows
- Various means to access to funds : cheque, cash advance, any ABM or Internet Banking Solutions
- Possibility of issuing Letters of Guarantees to your suppliers
- Available in Canadian or U.S. dollars
- Competitive pricing, with variable interest rates calculated daily based on the Bank's Prime Rate2
- Maximize your working capital by supporting inventory expenses and operating costs while waiting to cash your receivables
- Allows you to pay suppliers faster and to benefit from discounts
- Protects against account’s insufficient funds up to the authorized amount
- Interest calculated only on the borrowed amount
- Simplifies cash management with automatic repayments directly from your daily surplus of funds
A bridge loan allows you to meet short-term liquidity requirements while you wait for cash inflows from a grant, tax credit or stock issue.
- Short-term loan (expiry in less than one year)
- Variable interest rate, calculated daily based on the Bank's prime rate
- Can be repaid at any time based on your projected cash inflows
- Monetize a projected cash inflow or an amount owed to your business
- Avoid using the working capital needed for your day-to-day business operations
- Invest in new projects sooner or seize business opportunities
Accounts receivable and accounts payable monetization1
Accounts receivable monetization allows you to leverage your receivables to obtain more credit and improve your working capital.
Accounts payable monetization allows you to obtain longer payment terms for your purchases and negotiate early payment discounts with your suppliers. Your suppliers will be paid by National Bank as per your instructions.
Letter of guarantee1
Guarantees that the Bank will pay an amount to a designated beneficiary (client, supplier, regulatory agency or other business partner), upon request and according to the conditions set out in the letter, should you or a third party fail to meet your contractual obligations to that beneficiary.
Protect your company’s reputation with suppliers and avoid unpleasant situations (refused cheques or preauthorized payments) in the event of insufficient funds.
1 Financing solutions are subject to credit approval by National Bank of Canada.
2 Prime means the annual variable interest rate published by the Bank from time to time, which it uses to determine the interest