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Source verified September 23, 2026
BDC Financing — Buying a Business Loan
Financing for buying or transferring a business
Latest source updateLast Update: September 23, 2026Latest change: The BDC buying-a-business loan form no longer shows the $10,000 and $350,000 minimum borrowing thresholds, and the borrowing-amount instruction is now shorter.View change
Latest source update
Last Update: September 23, 2026
Latest change: The BDC buying-a-business loan form no longer shows the $10,000 and $350,000 minimum borrowing thresholds, and the borrowing-amount instruction is now shorter.
Loan form removes minimum borrowing amounts
The Eligibility check and loan request form no longer shows the $10,000 minimum borrowing amount or the $350,000 minimum borrowing threshold, and it no longer directs applicants seeking less than $350,000 to the Small Business Loan. The borrowing-amount field still instructs applicants to enter the amount they want to borrow, but the amount thresholds and loan-routing guidance were removed from the form.
Funding available
Varies by project
Deadline
Open continuously
Location
Canada
Overview
BDC’s Business Purchase or Transfer Loan offers flexible financing for businesses based in Canada that are generating revenue and have a good track record to buy a company, merge with a competitor, or transfer ownership. Eligible uses include purchasing an existing business, refinancing vendor take-back financing, and covering intellectual property or lawyer’s fees.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Complete an acquisition or business transfer
Eligible Funding
- Varies by project
Funds Providers
Eligible candidates
Eligible Industries
- All industries
Location
- Canada
Legal structures
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- All groups
Next Steps
1
Determine your project
2
Validate your eligibility
Availability timeline
2026
Periods: 1
Activities funded
- Buy an existing business
- Purchase a competitor or a supplier
- Complete a management or employee buyout
- Take over a family business
- Refinance seller financing (vendor take-back)
Documents Needed
- A letter of intent
- Notices of Assessment from the past 2 years
- The business's financial statements or income tax returns
Official resources
Application form
Eligibility
Who is eligible?
- Canadian citizens or permanent residents
- Applicants who have reached the age of majority in the province or territory where they live
Eligible expenses
- Legal fees, moving expenses and other one-time costs
- Intellectual property, goodwill and client list
Eligible geographic areas
- Canada
How to apply
- Check eligibility.
- Tell BDC about your acquisition project, including the business you want to buy and how much you want to borrow.
Processing and Agreement
- BDC can review a loan request only once there is a negotiated agreement to buy another company and a relevant supporting document, such as an agreed purchase price, a letter of offer and closing date.
- BDC will call the applicant to discuss the project in depth, including the documents needed for its analysis.
- Business purchase transactions require specific, detailed analysis, and BDC recommends allowing ample time for the financing process to avoid potential delays or issues with the sale.
- If the applicant is approved, BDC will send a loan offer based on financial needs and capabilities.
Additional information
- BDC does not offer prequalification for this loan.
- BDC can help applicants navigate the business transition process as a seller or new owner.
- BDC does not provide information on businesses available on the market.
Contacts
Frequently Asked Questions about the BDC Financing — Buying a Business Loan Program
What is the BDC Financing — Buying a Business Loan?
BDC’s Business Purchase or Transfer Loan offers flexible financing for businesses based in Canada that are generating revenue and have a good track record to buy a company, merge with a competitor, or transfer ownership. Eligible uses include purchasing an existing business, refinancing vendor take-back financing, and covering intellectual property or lawyer’s fees.
What is the deadline to apply?
The program is accepting continuous intake
Who is eligible for the BDC Financing — Buying a Business Loan program?
To be eligible for the BDC Financing — Buying a Business Loan program, you must:
The business must be based in Canada.
The business must be generating revenue and have a good track record.
The applicant must be a Canadian citizen or permanent resident and have reached the age of majority in the province or territory in which they live.
What expenses are eligible under BDC Financing — Buying a Business Loan?
Buy an existing business
Purchase a competitor or a supplier
Complete a management or employee buyout
Take over a family business
Refinance seller financing (vendor take-back)
Who can I contact for more information about the BDC Financing — Buying a Business Loan?
You can contact Business Development Bank of Canada (BDC) or by phone at 1-877-232-2269.
Where is the BDC Financing — Buying a Business Loan available?
The BDC Financing — Buying a Business Loan program is available across Canada.
Is the BDC Financing — Buying a Business Loan a grant, loan, or tax credit?
BDC Financing — Buying a Business Loan is a Loans and Capital investments