BDC Financing — Working Capital Term Loan

Q: How much funding can be received?

There is no informations about how much funding can be received.

Q: What is the deadline to apply?

The deadline to apply is not specified.

Q: 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

Q: 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), Government of Canada

Q: 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: • Applicant must be based in Canada. • Applicant must have been generating revenue for at least 24 months. • Applicant must have a good credit history track record.

Q: Who can I contact for more information about the BDC Financing — Working Capital Term Loan?

You can contact Business Development Bank of Canada (BDC).

Q: Where is the BDC Financing — Working Capital Term Loan available?

The BDC Financing — Working Capital Term Loan program is available across Canada.

Last Update: July 22, 2025

Canada

Working capital loan

At a glance

Eligible Funding

No Condition

Timeline

Unspecified

Financing Type

Loans and Capital investments

Eligible Industries

All industries

Funds Providers

Unspecified

Program status

Open

Overview

Get a loan to complement your line of credit and maintain your cashflow.

Financing terms and conditions

This financing offers considerable flexibility, allowing businesses to match repayment plans to their cash flow and focus on taking strategic opportunities for growth. By providing a long repayment term and interest-only payments initially, it supports businesses in managing their initial financial outlays while pursuing larger projects.

Interest-only payments allowed for up to 24 months at the start of the loan.
Customized repayment schedule aligned with the business's cash flow cycle.
Loan repayment term of up to 8 years.

Activities funded

This grant provides working capital to support various business-related projects that facilitate growth and expansion. Eligible activities include projects from inventory purchases to sustainability initiatives.

Buying inventory.
Paying suppliers.
Expanding into new markets.
Developing new products.
Protecting intellectual property.
Launching a marketing campaign.
Obtaining industry-specific certifications.
Hiring or training employees.
Completing energy efficiency, green retrofit, or sustainability projects.

Examples of admissible projects:

$ 85,000

Purchase advanced IT equipment to improve service delivery and reduce costs

$ 40,000

Improve profitability by paying suppliers for dairy products upfront to gain discounts

$ 30,000

Purchase raw materials to fulfill a bulk order of handmade furniture

$ 40,000

Launch a comprehensive marketing campaign for our mobile education app

$ 80,000

Launch a new product line of eco-friendly home cleaning supplies

$ 30,000

Expand market presence in Eastern Canada for our artisanal cheese products

Eligibility

Eligibility for this financing option is determined by specific requirements outlined by BDC for companies seeking loans.

The company must have been generating revenues for 12-24 months.
Loans are subject to approval and certain conditions apply.
Inclusive entrepreneurship loans are available for Indigenous entrepreneurs or newcomers to Canada.

Who is eligible?

There are specific types of companies eligible for this grant. Businesses in various sectors can benefit from this financing solution provided by BDC. Eligible sectors include tech companies, small businesses, commercial real estate, equipment loan seekers, and those looking for working capital.

Tech companies
Small businesses
Commercial real estate businesses
Equipment loan seekers
Working capital loan applicants

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

This grant is available to businesses that are based in Canada. Eligibility is determined by the company's location within Canadian borders.

Companies based in Canada.

Selection criteria

There are evaluation and selection criteria for this grant. The evaluation and selection criteria include:

Financial viability of the project
Potential impact on job creation and economic growth
Alignment with the grant objectives and priorities
Evidence of innovation and market potential
Demonstrated need for funding

How to apply

Determine Loan Type

Identify the specific type of loan that suits your business needs, such as working capital loan, equipment loan, or real estate loan.

Gather Required Information

Prepare all necessary documents, which may include your business plan, financial statements, cash flow projections, and management profiles.
Ensure you have detailed project descriptions ready if applying for project-specific financing.

Complete Online Application

Visit the BDC website and navigate to the loan application section.
Fill out the online application form with accurate, thorough information about your business and financing needs.

Submit Application

Review your application thoroughly to ensure all information is correct.
Submit the application through the BDC’s online portal.

Confirmation of Submission

Receive a confirmation email from BDC that your application has been received.
Note your application number for future reference.

Follow-Up

Monitor your email for any communication from BDC regarding additional requirements or updates on your application status.
Be prepared to provide further information or clarification if requested by the BDC team.

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.

Apply to this program

Frequently Asked Questions about the BDC Financing — Working Capital Term Loan Program

Here are answers to the most common questions about the BDC Financing — Working Capital Term Loan. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.