The goal of this study is to investigate the performance of a Single-Phase Natural Circulation mini Loop (SPNCmL) operating under the influence of an external magnetic field (EMF). For this purpose, a numerical SPNCmL model working with Fe3O4 ferrofluids (1-3 vol%.) under the influence of an EMF is developed to reflect the effect of a NdFeB permanent magnet with a remanence of 1.22 T located at the outlet of the cooler-end for the magnetic field generation. System characteristics such as temperature difference at heater-end (& UDelta;Theater) and maximum temperature (Tmax) and performance in terms of effectiveness (& epsilon;) are investigated. In addition, the effect of EMF on boundary layer energy transport along the cooler-end is evaluated in terms of the change in the local Nusselt number. Applying an EMF dramatically affects the system performance in terms of an increase in & UDelta;Theater and & epsilon;, respectively up to 34% and 25% compared to those with water. Tmax values are obtained by up to 9% higher for Fe3O4 ferrofluids compared to water, while applying EMF results in an increment in Tmax by up to 5%. Improved heat transfer performance by employing EMF at the cooler-end outlet of the SPNCmLs emphasizes their potential in cooling applications.