Guide

Year-end cash planning for Canadian businesses a practical guide.

Year-end brings taxes, bonuses, holiday payroll and planning for next year all at once.

✓ Checking what you qualify for does not affect your credit score.

How should a Canadian business plan cash at year-end?

Short answer: List every obligation due in December and January, including tax instalments, payroll remittances, holiday pay, bonuses, insurance renewals and annual subscriptions, since many land in the same weeks. Check your fiscal year with your accountant, buy only what the business needs and build a buffer for a slow January.

Key facts

Many year-end obligations land together
Corporate tax follows your own fiscal year
Do not buy just for tax reasons
Arrange any funding before the January slowdown

Overview

Year-end brings taxes, bonuses, holiday payroll and planning for next year all at once.

List year-end obligations

Write down tax instalments, payroll remittances, holiday pay, bonuses, insurance renewals and annual subscriptions due in December and January.

Many land in the same weeks.

Check your fiscal year

If your fiscal year ends at a different time, plan around it. Corporate tax filings and payments follow your own year-end.

Talk to your accountant about timing purchases and income.

Plan purchases

Equipment bought before year-end may affect taxes. Do not buy just for tax reasons; buy what the business needs.

Fund purchases with the right structure.

Prepare for January

January is slow for many businesses and brings new costs such as annual fees. Build a buffer in December.

Applying for funding before the slowdown is easier than during it.

Set next year's plan

Use this year's statements to plan next year's cash: peaks, dips and big expenses. A simple 13-week forecast is a good start.

A plan turns surprises into scheduled events.

Typical starting points

Monthly revenueTypically from around $20,000 a month in deposits for Canadian files. The exact line varies by funder and by file.

Time in businessTypically about 12 months. Newer businesses can be reviewed, but the options narrow.

Account healthLimited low-balance or negative days. Funders read the last few months of bank statements for this.

CreditScores from 500 are considered. A score of 600 or higher opens more options and better offers.

DocumentsA signed application and recent business bank statements, typically the last four months.

Existing advancesFiles with an existing advance can be reviewed, including second position.

A December checklist

List every payment due between December 1 and January 31. Mark which can be moved and which cannot. Confirm holiday payroll dates against when settlements arrive around statutory holidays. Set aside tax instalments in a separate account. Review subscriptions and cancel what you do not use. And schedule a time in the first week of January to review the year's statements, which is also the best moment to prepare any funding application.

Mistakes to avoid

Buying equipment purely for tax reasons
Forgetting that December holidays delay settlements
Leaving January's annual fees out of the plan

Key takeaway

Most year-end surprises are scheduled events nobody wrote down. One list of every December and January payment turns them back into plans.

If you expect to apply for funding in the new year, prepare in December: download statements, update your forecast and write the four-line description of your business while the year is fresh.

Sources and review

Reviewed by the Merchant Fund Express team on October 12, 2026. Official pages checked as of that date.

Common questions

Is this advice for my situation?

It is general education. Your file and agreements are specific, so read them and ask questions.

What should I do next?

Gather four months of statements and write what the money is for in one sentence.

Can you help me apply?

Yes. Apply once and the file is matched to the structure that fits.