Swoop Funding is an online business lending platform that has recently expanded its services to Canada (originally from the UK). It’s basically a marketplace for small and medium-sized enterprises (SMEs) seeking various funding options. Rather than providing loans directly, Swoop connects businesses with a broad network of lenders, investors, banks and grant providers, essentially streamlining the process of securing capital…
🇨🇦 Swoop Funding: Tailored for Canadian Businesses
🔍 Overview
- Business Model: Swoop operates as a financial intermediary, matching businesses with suitable funding options based on their specific needs and profiles.
- Services Offered:
- Debt Financing: Term loans, lines of credit, invoice financing, merchant cash advances, and commercial mortgages.
- Equity Financing: Access to venture capital, angel investors, and crowdfunding opportunities.
- Grants: Assistance in identifying and applying for available business grants.
- Equipment and Asset-Backed Loans: Swoop specializes in equipment loans, such as heavy equipment, forestry, gyms, dump trucks, etc.
- Financial Tools: Business credit score checks, financial health assessments, and cost-saving analyses.
- Geographical Reach: Primarily operates in the UK, with services also available in Canada, the US, Ireland, and Australia.
- User Base: Over 240,000 businesses have used Swoop’s platform.
✅ Pros
- Wide List of Funding Options: Offers a wide array of financing solutions, allowing businesses to compare multiple options in one place.
- User-Friendly Platform: The application process is streamlined, with a single application granting access to various funding sources.
- Speedy Funding: Some users report receiving funds within 24 hours of application approval.
- Expert Support: Provides personalized assistance, including help with pitch decks and investor introductions.
- Transparent Fee Structure: Swoop earns commissions from lenders, not borrowers, ensuring no hidden costs for users.
❌ Cons
- Not a Direct Lender: As a broker, Swoop doesn’t control the final terms of the funding, which are determined by the partner lenders.
- Potential for High Interest Rates: Some funding options, especially for businesses with weaker credit profiles, may come with higher interest rates.
- Eligibility Criteria: Certain funding options may have stringent requirements, potentially limiting access for newer or smaller businesses.
- Information Overload: The breadth of options available can be overwhelming for some users, making it challenging to choose the best fit.
Swoop VS Other Canadian Business Lenders
Let’s compare Swoop Funding with other popular alternative business lenders across Canada:
✅ 1. Swoop Funding (Loan Broker)
- Type: Broker / Marketplace
- APR: Starts ~5% (depends on partner lender you get matched with)
- Loan Types: Term loans, LOCs, equipment loans, grants, equity
- Terms: Up to 25 years
- Funding Speed: As fast as 24–48 hrs
- Fees: No fees to borrower; lenders may charge origination
- Best For: Startups needing loan + grant + investor options
- Gov’t Access: May include CSBFP or SR&ED matches
✅ 2. Journey Capital (Direct Lender)
- Type: Direct business lender
- APR: 8% – 29%
- Loan Types: Term loans, lines of credit, “Flex Funds”
- Terms: 4 – 24 months
- Funding Speed: 1 day or less
- Fees: No hidden fees advertised
- Best For: Businesses with decent credit needing fast bank-like loans (most likely higher though)
- Gov’t Access: No
✅ 3. SharpShooter Funding (Alternative Lender)
- Type: Direct lender
- APR: 14% – 39%
- Loan Types: Term loans, MCAs, expansion loans, LOCs
- Terms: 12 – 120 months
- Funding Speed: Approvals <24 hrs
- Fees: ~1% origination, no prepayment penalty
- Best For: Startups needing quick and long-term loans with transparent terms. Higher rates.
- Gov’t Access: No
✅ 4. LoansCanada.ca (Marketplace)
- Type: Broker / comparison site
- APR: 6.99% – 35% (depends on lender)
- Loan Types: Term loans, LOCs, startup loans
- Terms: 3 – 60 months
- Funding Speed: 24–72 hrs
- Fees: Platform is free; lender fees vary
- Best For: Comparing lots of options in one place
- Gov’t Access: No direct CSBFP or SR&ED links
✅ 5. MicroCapital.ca (Broker)
- Type: Broker
- APR: 8% – 29%
- Loan Types: Equipment loans, working capital
- Terms: Up to 60 months
- Funding Speed: <24 hrs approval
- Fees: Not clearly disclosed; built into APR
- Best For: Smaller businesses with $120K+ revenue
- Gov’t Access: No
✅ 6. Merchant Growth (Alt Lender)
- Type: Direct alternative lender
- APR: 12.99% – 39.99%
- Loan Types: MCAs, fixed loans, LOCs
- Terms: 6 – 24 months
- Funding Speed: 1–3 days
- Fees: No hidden fees, disclosed up front
- Best For: Fast access, even with bad credit
- Gov’t Access: Yes — CEBA loan refinancing available
🔍 TL;DR: Which Has the Lowest Rates?
- 🥇 Journey Capital – Great rates + fast funding for businesses with enough history
- 🥈 Merchant Growth – Best combo of low rates + multiple financing options.
- 🥉 Swoop – Depends on the lender you match with, but can surface low-rate options
💬 Swoop Funding’s Customer Feedback
Swoop Funding has garnered positive reviews across various platforms:
- Trustpilot: Rated 5/5 stars based on over 380 reviews, with users praising the platform’s efficiency and customer service.
- Google Reviews: Holds a 4.9/5-star rating, reflecting high customer satisfaction.
Customers frequently highlight the platform’s ease of use, the helpfulness of the support team, and the speed of securing funding.
📝 Application Process with Swoop
- Online Registration: Businesses create an account on Swoop’s platform.
- Profile Completion: Users input details about their business, including financial information and funding needs.
- Funding Matches: Swoop’s algorithm suggests suitable funding options from its network of partners.
- Application Submission: Businesses apply directly through the platform to the selected funding sources.
- Funding Receipt: Upon approval, funds are disbursed, sometimes within 24 hours.
📊 Ideal Candidates for Swoop Funding
Swoop Funding is particularly beneficial for:
- Startups and SMEs: Seeking diverse funding options without the need to approach multiple lenders individually.
- Businesses with Limited Credit Histories: Looking for alternative financing solutions beyond traditional banks.
- Companies Seeking Grants or Equity Investment: Needing assistance in navigating complex application processes.
🧾 Conclusion – Should You Try Them?
Swoop Funding is definitely a worthy option for Canadian businesses aiming to explore a wide range of financing options in an efficient and centralized way. Its user-friendly platform, coupled with personalized support, simplifies the often complex process of securing business funding. However, businesses should be mindful of the potential for higher interest rates and ensure they thoroughly assess the terms of any funding option presented. Compare with other providers!
Swoop Funding FAQ Summary for Canadian Startups
1. What is Swoop Funding?
Swoop is a business funding marketplace, not a direct lender. You apply once through their platform, and they match you with relevant loan, grant, or investor options from a wide network of partners they work with.
2. What types of funding can I get?
Swoop connects you to the following types of loans:
- Business loans (term loans, lines of credit like those from Journey Capital, equipment financing)
- Government-backed loans (like the CSBFP)
- Equity investment (VCs, angels, crowdfunding)
- Grants and tax credits (like SR&ED)
3. Who can apply?
Most Canadian businesses with at least a few months of operations and some revenue are eligible. Some lenders accept businesses with just 3+ months in business and ~$5K/month in sales.
4. How fast is the process?
You can get matched with options within minutes and funded in as little as 24–48 hours, depending on the lender. This is much faster than traditional banks.
5. Is Swoop a lender?
No — Swoop is a broker or marketplace. They partner with banks, fintech lenders, credit unions, and investors to present multiple offers in one place.
6. Who are their partners?
Swoop works with traditional banks, private lenders, fintechs, grant programs, and equity investors. You’ll likely see offers from a mix of providers depending on your profile.
7. What industries and business sizes does Swoop serve?
They primarily help small and mid-sized businesses across all sectors — from local service businesses to fast-growing tech startups.
8. Are there any fees?
Swoop doesn’t charge borrowers to apply. They’re paid by lenders or investors after a successful match. Some equity services may involve a success fee.
9. How can I improve my chances?
Tips:
- Have solid credit and financials
- Prepare key documents (bank statements, tax returns, business plan)
- Link your accounting or banking tools for faster verification
- Apply for a realistic amount based on your revenue
10. What documents should I have ready?
- Business plan
- Financial statements
- Tax returns
- Bank account info
- Incorporation docs and ID
11. How does Swoop compare to banks?
Swoop is faster and more flexible, but some loan options may come with higher interest rates than traditional banks. It’s ideal for businesses needing quick funding or those declined by banks.
12. Any downsides?
- Some loan offers may have higher rates
- Approval depends on the lender’s criteria
- Not every match will be perfect — read terms carefully
Mark Turner is a retired financial writer that now enjoys blogging about different financial topics, such as commodities, inflation, debt, retirement, alternative investments and Canadian politics.
