Business borrowing is harder to see than consumer borrowing, because published figures describe bank lending books rather than what an owner asks for. Smarter Loans receives business loan applications from across Canada, each recording what the money is for and where the business is. This report covers the year to July 2026 on a sample of 823 applications: enough to report three provinces and three purposes, and not enough to report more, so that is what it does.
What businesses ask for
Across Smarter Loans business loan applications from August 2025 to July 2026, the average amount requested was $92,806. That is more than thirty-five times the average personal loan request over the same period, which is the first thing to understand about business lending: the amounts are a different order, and so is the underwriting behind them.
By purpose
What the money is for moves the number substantially.
Across the same Smarter Loans business loan applications from August 2025 to July 2026, by stated purpose:
- Expansion: $128,450.
- Everyday operations: $109,465.
- Inventory: $59,529.
Expansion requests run at more than double inventory requests, which fits how the two are financed: expansion is a lump sum against a plan, inventory is a revolving need sized to a season.
By province
View as table
| Quebec | $109,849 |
| Alberta | $98,218 |
| Ontario | $81,670 |
Source: Smarter Loans business loan applications, August 2025 to July 2026.
Three provinces clear the reporting floor. Across Smarter Loans business loan applications from August 2025 to July 2026:
- Quebec: $109,849 on 100 applications. Read as an indication, not a measurement.
- Alberta: $98,218 on 138.
- Ontario: $81,670 on 383. The largest group and the lowest average, consistent with a broader mix of small businesses applying there.
What this means if you are borrowing for a business
Lenders underwrite the business, not the owner, and the purpose shapes the product. An expansion at the six-figure scale above is term-loan territory, decided on revenue and trading history; an inventory purchase is usually a line of credit or a short-term facility sized to the cycle. Our guide to how to qualify for a business loan covers what lenders check and in what order, and the business loans page compares lenders by what they will fund.
Frequently asked questions
How much do Canadian businesses borrow?
Across 823 Smarter Loans business loan applications from August 2025 to July 2026, the average request was $92,806. Requests for expansion averaged $128,450 and requests for inventory $59,529.
Which province has the largest business loan requests?
Quebec, at $109,849 on average across Smarter Loans business loan applications from August 2025 to July 2026, though on a small sample of 100 applications. Ontario had the most applications and the lowest average at $81,670.
What do businesses borrow for most?
Everyday operations was the most common reportable purpose, followed by expansion and inventory. Expansion carried the largest average request.
Why are only three provinces shown?
Provincial figures are published only where at least 100 applications exist. On a sample of 823, only Ontario, Alberta and Quebec clear that floor.
About this data
Figures are drawn from Smarter Loans business loan applications between August 1, 2025 and July 31, 2026. The full sample is 823 applications; provincial and purpose figures are published only where a cell holds at least 100 applications, which leaves three provinces (Ontario 383, Alberta 138, Quebec 100) and three purposes (everyday operations 163, expansion 137, inventory 124). Amounts are requested at application, not funded. Averages are used throughout. Smarter Loans has connected more than 2 million Canadians with financing since 2016. Our other reports from the same application data are collected at Smarter Loans Research.
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The Smarter Loans Editorial Team produces in-depth, original content to help Canadians navigate borrowing, credit, and personal finance with confidence.
