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Source verified July 6, 2026
BDC Financing — Working Capital Term Loan
Flexible financing for business cash flow
Latest source updateLast Update: May 11, 2026Latest change: BDC expanded the working capital loan content with new FAQ guidance and added a separate Defence Platform page with eligibility details.View change
Latest source update
Last Update: May 11, 2026
Latest change: BDC expanded the working capital loan content with new FAQ guidance and added a separate Defence Platform page with eligibility details.
BDC financing page update
BDC expanded the Working Capital Loan page with a new FAQ section that explains eligibility, application steps, loan amount considerations, and how the product differs from a line of credit. The page also now points to updated check-eligibility links and includes clearer language about term-loan structure and repayment expectations. A separate BDC Defence Platform page was added with a much broader scope, including defence and dual-use eligibility, operating-history expectations, and new defence-specific resources and contact pathways. These additions materially change the audience, application guidance, and program positioning shown on the site.
Funding available
Varies by project
Deadline
Open continuously
Location
Canada
Overview
BDC Working Capital Loan helps Canadian businesses finance operations and growth with flexible terms. Eligible uses include inventory purchases, supplier payments, market expansion, product development, marketing, hiring, training, and sustainability projects.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Develop a new product or service
- Obtain certifications or accreditations
- Access new markets
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
- Startups
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Buying inventory.
- Paying suppliers.
- Expanding into new markets.
- Developing new products.
- Protecting intellectual property.
- Launching a marketing campaign.
- Hiring or training employees.
- Completing energy efficiency, green retrofit, or sustainability projects.
Official resources
Eligibility
Who is eligible?
- Canadian-based businesses
- Businesses already generating revenue
- Businesses with a good credit history
Eligible expenses
This grant offers financing tailored to support business growth and operational improvements, ensuring that financial resources are available for strategic projects without affecting cash flow stability.
- Complementing existing lines of credit.
- Purchasing inventory to quickly fulfill orders.
- Launching growth projects, including expanding into new markets or developing new products.
- Protecting intellectual property and launching marketing campaigns.
- Improving profitability by paying suppliers upfront, obtaining certifications, and training employees.
Eligible geographic areas
- Canada
Selection criteria
- Financial situation of the business.
- Operating history.
- Purpose of the financing.
- Fit with the business’s needs and cash-flow reality.
How to apply
- Step 1: Complete the online loan request
- Provide information about your business and financing needs.
- Step 2: Speak with a representative
- BDC will contact you to discuss your project in detail and the documents needed for analysis.
- Step 3: Receive the financing decision
- If approved, BDC sends a tailored loan offer based on your financial needs and capabilities.
Processing and Agreement
- BDC reviews the request after the online submission.
- A representative contacts the applicant to discuss the project and next steps.
- If approved, BDC sends a loan offer based on the business’s needs and capacity.
Additional information
Here are additional relevant details for this grant:
- Loans over $350,000 come with preferred terms and conditions.
- Applicants can benefit from unparalleled flexibility by matching payments to their cash flow cycle.
- BDC offers a "beyond the numbers" approach, considering management expertise and project potential rather than relying solely on banking ratios.
- Financial solutions are available that do not dilute ownership, particularly for asset-light companies or those needing non-conventional financing solutions.
- There are special financing solutions available for Indigenous entrepreneurs and newcomers to Canada.
Contacts
Frequently Asked Questions about the BDC Financing — Working Capital Term Loan Program
What is the BDC Financing — Working Capital Term Loan?
BDC Working Capital Loan helps Canadian businesses finance operations and growth with flexible terms. Eligible uses include inventory purchases, supplier payments, market expansion, product development, marketing, hiring, training, and sustainability projects.
Who is eligible for the BDC Financing — Working Capital Term Loan program?
To be eligible for the BDC Financing — Working Capital Term Loan program, you must:
Based in Canada
Generating revenue for 12+ months
Good credit track record
What expenses are eligible under BDC Financing — Working Capital Term Loan?
Buying inventory.
Paying suppliers.
Expanding into new markets.
Developing new products.
Protecting intellectual property.
Launching a marketing campaign.
Hiring or training employees.
Completing energy efficiency, green retrofit, or sustainability projects.
Who can I contact for more information about the BDC Financing — Working Capital Term Loan?
You can contact Business Development Bank of Canada (BDC) or by phone at 1-877-232-2269.
Where is the BDC Financing — Working Capital Term Loan available?
The BDC Financing — Working Capital Term Loan program is available across Canada.
Is the BDC Financing — Working Capital Term Loan a grant, loan, or tax credit?
BDC Financing — Working Capital Term Loan is a Loans and Capital investments
Who are the financial supporters of the BDC Financing — Working Capital Term Loan?
BDC Financing — Working Capital Term Loan is funded by Business Development Bank of Canada (BDC)