Guide
Supplier credit is often the cheapest working capital a business has. Longer terms, early-payment discounts and better deposits can free up more cash than a loan.
✓ Checking what you qualify for does not affect your credit score.
Short answer: Use your payment history, order volume and relationship length as leverage. Ask for longer terms such as net 45 instead of net 30 if timing is the problem, early-payment discounts or volume pricing if cost is, and seasonal dating if you stock up before a busy season. Offer predictability in return and get it in writing.
Key facts
Related: Practical Business Funding Guides for Canadian Owners · Business Funding Requirements in Canada · Documents Needed for Business Funding in Canada · Business Funding Affordability Calculator (CAD) · Funding Readiness Score Canada: Free 30-Second Check
Supplier credit is often the cheapest working capital a business has. Longer terms, early-payment discounts and better deposits can free up more cash than a loan.
Your payment history, order volume and the length of the relationship all matter. A customer who always pays on time and orders regularly has more leverage than one who pays late.
Know what competitors offer before you ask.
If cash timing is the problem, ask for longer terms, for example net 45 instead of net 30. If cost is the problem, ask for early-payment discounts or volume pricing.
For seasonal businesses, ask for dating: delivering stock before the season with payment due after it starts.
Commit to volume, consolidate purchases with fewer suppliers or agree to pay by electronic transfer on a set day. Predictability is valuable to suppliers.
A signed annual forecast can justify better terms.
A 2% discount for paying in ten days instead of thirty is worth a lot when annualized. Sometimes short-term funding to capture discounts pays for itself; work out the numbers before deciding.
Conversely, longer terms can avoid the need for funding entirely.
Confirm new terms in writing and track them. Missing a negotiated payment date costs credibility quickly.
Guides like this one are general education written for Canadian owners. They are most useful when you turn them into a few concrete actions with dates, and revisit them when your numbers change. If funding is part of your plan, the same preparation that makes the plan work, clear numbers and a specific purpose, also makes an application faster and stronger.
Merchant Fund Express reviews Canadian businesses in every province and territory. If you would like a specific answer for your business rather than general guidance, send a signed application and your last four months of business bank statements, or call (305) 384-8391 first to ask a question.
Reviewed by the Merchant Fund Express team on October 12, 2026. Official pages checked as of that date.
It is general education. Your file and agreements are specific, so read them and ask questions.
Gather four months of statements and write what the money is for in one sentence.
Yes. Apply once and the file is matched to the structure that fits.
Educational information only. It is not legal, tax or accounting advice.
Same-day decision. Applying takes a few minutes and will not affect your credit score.
