BDC Capital — Capital de croissance et transfert d'entreprise — Achat d'une entreprise ### 📋 Eligible Entities - Canadian private corporations (for-profit businesses) - Established businesses with demonstrated operating history and financial performance - Businesses seeking acquisition financing for purchasing competitor or supplier enterprises - Businesses with strong management teams and viable business plans - Companies operating in most industries (subject to BDC sector restrictions) - Businesses with sufficient collateral or security to offer Note: Non-profits, sole proprietors, and partnerships may have limited eligibility; confirmation with BDC required. --- ### 💰 Funding Details | Aspect | Details | |--------|---------| | Maximum Funding | Up to $35 million CAD | | Funding Type | Repayable financing (loan) | | Structure | Growth capital and acquisition financing | | Interest Rate | Competitive, market-based rates (variable based on risk profile) | | Repayment Terms | Typically 5–10 years depending on loan structure and cash flow | | Matching Requirements | Borrower equity contribution typically required (percentage varies) | | Leverage | Can be combined with other BDC products and external financing | --- ### 🛠️ Approved Expenses - Acquisition purchase price for competitor or supplier businesses - Working capital increase to support expanded operations post-acquisition - Integration costs related to merging acquired business - Equipment and infrastructure required for the acquisition - Debt refinancing if related to acquisition strategy - Professional fees (legal, accounting, advisory) directly tied to the acquisition Cannot be used for: dividend distributions, shareholder buyouts unrelated to growth, or speculative investments. --- ### ⚠️ Conditions & Milestones | Condition | Requirement | |-----------|-------------| | Business Plan | Comprehensive acquisition and integration strategy required | | Financial Statements | Audited or reviewed financial statements for past 2–3 years | | Equity Contribution