Introduction: Understanding FundThrough in Canada
In the dynamic landscape of Canadian business, managing consistent cash flow remains a critical challenge, particularly for small and medium-sized enterprises (SMBs). Slow-paying invoices can stifle growth and create operational hurdles. Enter FundThrough, a Toronto-based fintech innovator, established in 2014. FundThrough has positioned itself as Canada's leading digital invoice funding platform, offering a modern, technology-driven approach to unlock working capital trapped in outstanding receivables. Headquartered at 260 Spadina Avenue, Toronto, FundThrough Canada Inc. provides a vital service for B2B businesses seeking immediate liquidity without incurring traditional debt. Founded by Steven Uster and Deepak Ramachandran, the company's mission is to empower businesses across North America by transforming their unpaid invoices into accessible funds, boasting over 2.7 billion Canadian dollars funded to date.
Operating on a tech-enabled marketplace model, FundThrough purchases outstanding invoices from SMBs, advancing a significant portion of their value upfront. This model helps businesses bridge cash-flow gaps, ensuring they can cover payroll, invest in growth, or manage unexpected expenses. The company is privately owned, backed by a strong consortium of venture capital and credit facility investors, including notable Canadian firms like Real Ventures and Northleaf Capital. FundThrough's growth and impact have been recognized, earning it a spot among Deloitte Fast 500 and Globe & Mail's Top Growing Companies in 2024, signaling its significant role in modernizing business finance.
FundThrough's Invoice Funding Solutions
Core Product: Invoice Factoring Explained
FundThrough's primary offering is invoice funding, often referred to as factoring. This service allows businesses to sell their outstanding invoices, typically up to 90 days old, to FundThrough in exchange for an immediate cash advance. Unlike a traditional loan, this is a sale of an asset – your invoice – meaning it does not add debt to your balance sheet. FundThrough typically advances between 95% to 100% of an invoice's face value. The minimum amount for an invoice can be as low as CAD 15, while there is no artificial cap, with individual invoice values commonly reaching up to CAD 5 million. This flexibility makes it suitable for a wide range of B2B transactions, from small service agreements to large supply contracts.
Navigating Costs and Terms
Transparency is a key aspect of FundThrough's fee structure. The core cost is a single, transparent funding fee calculated at 0.5% of the invoice face value per week. It is important for Canadian businesses to understand this weekly rate, as it translates to an annualized percentage rate (APR) of approximately 26% to 62%, depending on the duration the invoice remains outstanding. There are no origination fees, annual account fees, or hidden charges, which simplifies cost estimation for borrowers. Repayment terms are typically short, ranging from 1 to 24 weeks, with 12 weeks being a common duration. Repayments of principal plus fees occur automatically on a weekly basis. A significant advantage is the absence of prepayment penalties, offering flexibility if your customer pays early. FundThrough secures its funding by taking ownership of the funded invoices; no additional asset pledges or personal guarantees are generally required from the business owner.
The Digital Application Experience
FundThrough prides itself on a fully digital onboarding and application process, accessible through its website and dedicated mobile applications. This eliminates the need for physical branches and streamlines the entire experience. The application involves digital identity verification, secure linking of banking information using 256-bit encryption, and seamless integration with popular accounting software like QuickBooks and OpenInvoice. This integration allows for real-time data access, which is crucial for FundThrough's AI-powered underwriting methodology. Eligibility is assessed based on the quality of the invoice and the creditworthiness of the invoice payer, rather than a preset minimum personal credit score for the borrower. Importantly, using FundThrough's service does not impact the personal credit scores of business owners, though fraudulent activity would be reported to credit bureaus. Once approved, funds are typically disbursed via EFT/bank transfer to the business's account by the next business day, providing swift access to capital.
Mobile Application for On-the-Go Management
For modern Canadian business owners, the ability to manage finances remotely is paramount. FundThrough offers robust mobile applications available on both iOS and Android platforms. These apps are designed for convenience, allowing users to upload invoices, monitor their funding dashboard, and manage their account details from anywhere. User experience is a clear focus, reflected in the average app store rating of 4.7, indicating high user satisfaction. This mobile accessibility enhances the speed and efficiency of the service, aligning with the needs of today's fast-paced business environment.
Regulatory Compliance and Market Standing
Adherence to Canadian Regulations
Operating within Canada, FundThrough adheres to relevant provincial lending regulations. While invoice factoring often falls under different regulatory frameworks than traditional loans, FundThrough maintains transparent fee disclosures and robust data security protocols (bank-grade encryption) to protect client information. The company also complies with anti-money laundering (AML) and fraud reporting requirements, ensuring a secure and compliant operating environment. To date, there have been no known penalties or enforcement actions against FundThrough, underscoring its commitment to regulatory best practices.
Client Feedback and Industry Recognition
Customer feedback for FundThrough is largely positive, with an average rating of 4.7 across app stores and independent review platforms. Clients frequently praise the speed of funding and the transparency of the fee structure, highlighting its effectiveness in addressing urgent cash flow needs. Common feedback includes appreciation for how quickly funds are disbursed, often within 24 hours of approval. Some complaints, however, have noted the perception of higher fees for invoices with longer payment terms, and the inherent reliance on the invoice payer's creditworthiness for eligibility. FundThrough supports its clients with a dedicated client success team, committing to funding decisions within minutes and disbursements within a business day. Its ability to enable SMBs to seize growth opportunities and manage expenses quickly is a recurring theme in case studies.
FundThrough in the Competitive Landscape
In the evolving fintech space, FundThrough stands out among competitors. While global players like MarketInvoice (UK) and Fundbox (USA) exist, FundThrough has carved a significant niche in Canada and North America. Its strategic acquisition of BlueVine's Canadian arm in 2021 and integration with Ampla in 2025 further solidified its market presence. Key differentiators include its sophisticated AI-driven underwriting, which provides rapid and accurate credit assessments, the flexibility of unlimited invoice sizes, and seamless integration with accounting software. This technological edge, combined with a transparent weekly fee model, positions FundThrough as a leading choice for Canadian SMBs. The company's consistent growth and recognition, including significant equity raises like the USD 25 million Series B in 2025, reflect its strong market position and commitment to innovation.
Practical Considerations for Canadian Businesses
For Canadian businesses contemplating FundThrough's invoice funding, several practical points warrant consideration. Firstly, evaluate the weekly fee in relation to your typical invoice terms. While the fee structure is transparent, longer payment cycles can accumulate higher overall costs, so compare this against the value of immediate capital. Secondly, understand that the creditworthiness of your customer (the invoice payer) is a primary factor in FundThrough's eligibility assessment. Businesses dealing with financially stable and reputable clients are more likely to qualify. Thirdly, embrace the digital nature of the service. FundThrough's efficiency stems from its online-only operation and accounting software integrations, requiring businesses to be comfortable with digital financial management. This service is particularly beneficial for B2B companies experiencing significant cash flow gaps due to 30, 60, or 90-day payment terms from their clients. It is not a traditional loan for long-term investments but rather a flexible tool for short-term working capital needs. By providing a quick, non-dilutive, and debt-free alternative to traditional financing, FundThrough empowers Canadian SMBs to maintain liquidity and focus on growth.
