>A very small company, such as 5 to 7 employees, is required to be set up as a bank. They will have a very limited number of transactions, processing very small loans, allowing deposits and withdrawals. Long term services are including mobile banking. I am looking for recommendations for a banking solutions that will allow these services, either as a full implementation onsite or from a monthly or annual service contract from a remote location, such as a cloud based application.

Banking is very heavily regulated world-wide, and rightfully so. The first step is to be very, very sure this company already has appropriate approvals, permits etc. to act as a bank. And, you will want to confirm any such approvals etc. yourself with (Canadian) OSFI or other banking regulator, to ensure those approvals are not fraudulent.

If they want to take deposits, then they're acting as a bank, and they get regulated, no matter how small they are.

If you are associated in any way with a company engaging in unregulated banking, the OSFI and likely the cops will drop the hammer on you.

If they're not taking deposits, then what they're engaging in may actually be microfinance, which has differing regulations around the world. Bear in mind that in general, any country that can support microfinance successfully usually has meaningful regulation with which any operator will have to comply.