EDC — Prêts directs ### 📋 Eligible Entities - Canadian-controlled private corporations - Canadian public corporations - Partnerships with Canadian majority ownership - Sole proprietors operating in Canada - Businesses unable to secure adequate financing from traditional lenders (banks, credit unions) - Companies with viable international growth opportunities or strategic expansion plans - Exporters and businesses engaged in cross-border trade ### 💰 Funding Details - Loan Structure: Direct loans provided by Export Development Canada (EDC) - Loan Size: Varies based on project scope and borrower creditworthiness; typically $250,000 to multi-million dollar range - Terms: Flexible repayment schedules negotiated case-by-case - Interest Rates: Competitive rates determined by EDC based on risk assessment and market conditions - Matching Requirements: No mandatory matching funds required (gap financing product) - Repayability: Fully repayable loans (not grants); structured repayment terms negotiated with EDC - Currency: Loans available in Canadian dollars and foreign currencies ### 🛠️ Approved Expenses - Working capital and operational cash flow needs - Equipment and machinery purchases for production or export capability - Technology adoption and digitalization initiatives - Inventory financing - Business expansion and capacity building - International market development and entry costs - Acquisition of complementary businesses or assets - Supply chain development and logistics infrastructure - Export-related infrastructure improvements ### ⚠️ Conditions & Milestones - Market Gap Requirement: Must demonstrate traditional lenders have declined or cannot provide sufficient financing - Business Viability: Strong evidence of business fundamentals and repayment capacity required - International Component: Preference for businesses with export potential or cross-border operations - Credit Assessment: EDC conducts thorough credit and risk evaluation - Security: May require personal guarantees, collateral, or security interests - Reporting: Ongoing financial reporting and compliance monitoring during loan term - Use of Funds: Proceeds must align with approved business purposes - Timeline: Application review and approval typically takes 4-8 weeks depending on complexity