BDC Financing — Buying a Business Loan

• Preferred terms and conditions available for loans over $350,000.
• Loan amounts are tailored to your business needs and transaction requirements.
• Financing can cover the acquisition of fixed assets, including the purchase of land, buildings, equipment, and shares of an existing business.

• The applicant is seeking financing to buy, merge with, or acquire another business.
• The business must have been generating revenues for 12 to 24 months.
• The financing can be used to acquire fixed assets, land, buildings, equipment, or shares of an existing business.
• The financing can also be used for business buyouts, family succession, management buyouts, or to acquire intangible assets such as intellectual property or client lists.

Who is eligible?

• Businesses seeking to acquire fixed assets (such as land, buildings, or equipment)
• Companies pursuing purchase or transfer of existing businesses
• Entrepreneurs involved in family succession or management buyouts
• Businesses aiming to acquire intangible assets (intellectual property, goodwill, client lists)
• Asset-light companies requiring non-conventional financing solutions

Eligible expenses

• Acquisition of fixed assets such as land, buildings, or equipment.
• Purchase of shares of an existing business.
• Buyout expenses related to family succession or management buyout (MBO).
• Refinancing costs for vendor take-back financing.
• Acquisition of intangible assets, including intellectual property, goodwill, and client lists.

Eligible geographic areas

• Canada

• Step 1: Assess Financing Needs
  • Determine the type and amount of financing required for your business acquisition or succession.
  • Identify whether you need funds for acquiring fixed or intangible assets, buyout, or refinancing vendor financing.
• Step 2: Contact BDC Experts
  • Reach out to BDC’s specialists for guidance on structuring the optimal loan and repayment terms tailored to your cash flow.
• Step 3: Prepare Application
  • Gather necessary documentation detailing your business and acquisition plans.
  • Prepare financial statements and any additional information requested by BDC for assessment.
• Step 4: Submit Application Online
  • Complete the application form available on BDC’s website.
  • Upload the required documents and submit the form for review.
• Step 5: Application Review and Approval
  • Wait for BDC to assess your application and provide further instructions or a decision.
  • Respond promptly to any follow-up requests from BDC for additional information or clarification.

• Payments can be structured to align with your business’s cash flow.
• BDC specialists provide personalized support throughout the acquisition process.
• Additional solutions are available for Indigenous entrepreneurs and newcomers to Canada.
• Financing options exist for asset-light companies or those needing non-conventional packages without ownership dilution.