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Source verified September 10, 2026
BDC Financing — Buying a Business Loan
Financing for buying or transferring a business
Latest source updateLast Update: September 10, 2026Latest change: A new official source now shows the business-buying financing terms, including funding from $250,000 to $35 million and repayment periods of 2 to 8 or 3 to 8 years.View change
Latest source update
Last Update: September 10, 2026
Latest change: A new official source now shows the business-buying financing terms, including funding from $250,000 to $35 million and repayment periods of 2 to 8 or 3 to 8 years.
Customized financing now visible
A new official source for Customized financing to buy a business now shows financing from $250,000 to $35M, with repayment periods of 2 to 8 years or 3 to 8 years depending on the solution, plus a possible 12-month capital-payment deferral. The published offer now also identifies the target profile more clearly: established or high-growth businesses with strong management and quality financial reporting, using mezzanine or cash-flow financing for acquisition projects. An online application endpoint is now provided for this Growth & Transition Capital financing.
Funding available
$ 350,000
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
- Minimum amount : 350,000 $
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 and expected closing date
- Notices of Assessment from the past two years
- The business’s financial statements or income tax returns
Official resources
Program guide
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.
- Provide information about 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