Quick answer: There is no single best equipment financing company in Canada for every purchase. The strongest fit depends on the asset, seller, business history, required structure, ownership goal and cash the business needs to keep after closing. This guide compares current Canadian options using official provider information—not advertised-rate guesses.
Commercial-interest disclosure: Mehmi Financial Group is included because it is the publisher and may earn compensation when financing is arranged through a provider. This is not an independent ranking.
Key takeaways
- Start with the transaction: equipment type, new or used, seller, installed cost, desired ownership and cash-flow needs.
- Compare total cash required, repayment schedule, security, guarantees, fees, ownership and exit terms—not just the payment.
- Banks, government-backed business lenders, equipment-finance specialists, captives and brokers solve different problems.
Broker insight: The provider should be selected after the equipment transaction is defined. A provider that is excellent for a clean dealer invoice may not be the right fit for a private sale, older machinery, a multi-asset purchase or a business that needs to preserve its operating line.
How we compared equipment financing companies
We reviewed current official provider pages available on October 16, 2026. We did not assign a universal “#1” because a provider's published product set does not tell you whether your specific application will be approved or priced competitively.
| Factor | Why it matters |
|---|---|
| Asset and seller fit | New dealer equipment, used assets, private sales and specialized machinery can require different verification and valuation. |
| Structure | Loan, lease, equipment line and sale-leaseback create different ownership and end-of-term obligations. |
| Upfront cash | Down payment, deposit, taxes, fees and installation can change the real cash requirement. |
| Repayment and total cost | Term, rate structure, payment frequency, residual or buyout and prepayment terms affect lifetime cost. |
| Documentation | Financial statements, projections, bank activity, equipment quote and seller information can affect review. |
| Flexibility | Ask what happens if you replace, refinance, sell or pay out the equipment early. |
Canadian equipment financing options to compare
BDC — equipment loans for Canadian businesses
BDC currently publishes a dedicated equipment loan for machinery, hardware, vehicles and other eligible equipment. Its public page lists general minimum requirements including being based in Canada and having at least 12 months of revenue generation, subject to approval. BDC also states that qualifying equipment loans can include additional financing for related costs such as shipping, installation and training.
Worth comparing when: you want to own the equipment, have an established operating business and want a term loan built around a capital purchase.
National Bank Equipment Finance — leases and loans
National Bank Equipment Finance currently offers both leasing and loan structures across industries including construction, healthcare, manufacturing, mining, transportation and agriculture. Its public site also provides dealer and broker channels, making it relevant when the equipment transaction is being coordinated through a vendor or intermediary.
Worth comparing when: you want a specialized equipment-finance provider and need to compare lease versus loan ownership structures.
RBC — equipment leasing and equipment purchase lines
RBC's current equipment leasing page describes leasing for single or ongoing equipment needs and an Equipment PurchaseLine for multiple purchases. RBC states that its lease solution can finance up to 100% of equipment cost, including taxes and installation, subject to its credit process and product terms.
Worth comparing when: you already bank with RBC, want a bank-based lease structure or have recurring equipment purchases.
Scotiabank — equipment financing, leasing and sale-leaseback
Scotiabank's current leasing and equipment financing page describes equipment leases, equipment finance lines and sale-leaseback transactions, with payment structures that may include seasonal options. Its separate Scotia Leasing page publishes transaction-specific eligibility and term details that should be checked for the exact business segment.
Worth comparing when: you want bank-based leasing, multiple equipment acquisitions or a sale-leaseback conversation.
TD — commercial equipment finance and term lending
TD Commercial Banking lists equipment financing alongside term loans and asset-based lending. TD's commercial page describes equipment financing for capital assets and equipment lines or term loans within its asset-based lending offering.
Worth comparing when: the equipment purchase is part of a broader commercial banking relationship or larger working-capital/collateral structure.
BMO — equipment financing and leasing within commercial banking
BMO Commercial Banking currently lists Equipment Financing and Leasing among its commercial solutions. BMO also publishes small-business installment loans that can be used to purchase equipment. Exact structure and eligibility depend on the business segment and credit review.
Worth comparing when: you want equipment financing within an existing BMO banking relationship or as part of a broader commercial facility.
Mehmi Financial Group — commercial financing broker
Mehmi Financial Group is a broker, not a bank or direct lender. The useful role of a broker is to define the transaction, prepare the file and compare potential financing routes when one provider's standard product may not fit the asset, seller or borrower profile.
Worth comparing when: you want help evaluating more than one structure, have a used or private-sale transaction, or want a broker to organize the financing request before it is placed.
Which provider type fits which situation?
| Situation | Provider route to investigate | What to verify |
|---|---|---|
| Established company buying standard equipment | Bank or BDC equipment loan | Ownership, security, contribution, amortization and prepayment. |
| Business prefers lease structure | National Bank, RBC, Scotiabank, BMO, TD or specialized lessor | Residual/buyout, return conditions, tax treatment, fees and early payout. |
| Several purchases over time | Equipment line / purchase line | Approved limit, draw process, expiry, seller requirements and conversion to term debt. |
| Owned equipment with trapped equity | Sale-leaseback or refinance provider | Current value, liens, payout, cash-out amount, new term and lifetime cost. |
| Used or private-sale equipment | Provider or broker comfortable with seller/asset verification | Ownership, liens, condition, valuation, serial numbers, deposit trail and who receives funds. |
Used equipment and private-sale purchases
Used equipment is not automatically worse financing collateral, but it usually creates more diligence. Record age, hours or mileage, service history, condition and current market support. For a private sale, verify seller identity, ownership, liens, serial numbers and the payout sequence before making a non-refundable commitment.
A dealer invoice can simplify the transaction, but it does not replace a mechanical, operational or financial assessment. The correct question is whether the asset is suitable for the business and the provider is comfortable with the transaction.
Questions to ask before applying
- Do you finance this exact asset type, age and seller type?
- Is the structure a loan, finance lease, operating lease, conditional sale or another product?
- What cash is required before funding: deposit, down payment, taxes, fees or first payment?
- What security and personal guarantees are required?
- What is the total contractual payment obligation, including any final buyout or residual?
- How is early payout calculated?
- Can the equipment be sold, moved, traded or refinanced during the term?
- Which financial and seller documents are required before a final decision?
Compare your next step
Start with the equipment quote, seller, business location, amount requested and the cash the business needs to retain after closing. Use the equipment financing calculator for an illustrative payment, then review equipment financing options before submitting a complete request.
Bottom line: “Best” should mean best fit for the transaction—not the provider with the loudest advertised rate or fastest marketing claim.
Authoritative provider sources
- BDC — Equipment Loan
- National Bank — Equipment Financing
- RBC — Equipment Leasing
- Scotiabank — Leasing & Equipment Financing
- TD Commercial Banking — Financing Services
- BMO Commercial Banking — Solutions
Editorial note: Written for commercial-finance education and reviewed against current provider pages on October 16, 2026. See Jodhbir Mehmi's author profile, our editorial standards and the website disclaimer. Mehmi Financial Group is a commercial financing broker and may receive compensation when financing is arranged. Provider products, eligibility and terms can change; verify current provider documentation before making a decision.