BDC Business purchase or transfer loan
Whether you're buying your first business, pursuing a merger or acquiring a competitor, we can help you find the best business loan for your needs.
A business purchase loan is intended to finance the acquisition of an existing business with revenue and an established client base.
Offered by Business Development Bank of Canada (BDC)
Amount
No fixed amount
Quick eligibility check
Who can apply
- To apply, make sure of the following:
- The business you want to buy is Canadian and is generating revenue
- You have a clear transaction structure (asset purchase or share purchase)
- You have an agreed purchase price, including how it was determined
- You have a letter of intent and an expected closing date
- You know what the required down payment is
- You have your Notices of Assessment from the past 2 years
- You have the business's financial statements or income tax returns
Can I get prequalified for a loan to buy a business?
No. BDC doesn’t offer prequalification. We can review your financing request once you’ve identified a business and negotiated the main terms of the purchase.
The business must be in located Canada and generating revenue.
About the funding
Repay based on your cash flow
Get flexible repayment options and interest-only payments at the start of your loan.
Benefit from stable financing
Obtain fixed terms with no unexpected changes or early repayment requirements without valid cause.
Show all funding details
Cover additional costs
Include legal fees, moving expenses and other one-time costs in your loan to reduce upfront expenses.
This business loan can help you...
- 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)
- Access extra financing for intellectual property, goodwill and client list
Similar programs
| Program | Type | Amount | Status |
|---|---|---|---|
| BDC Growth & Transition Capital: Buying a Business | Loan | Financing from $250,000 to $35M, repaid over 3 to 8 years, with capital payments postponed for the first 12 months | Open |
| BDC Growth & Transition Capital: Transfer a business | Loan, Investment | Financing from $250,000 to $35M, repayable over a period of 2 to 8 years, with capital payments postponable for the first 12 months | Open |
| BDC Wholesale Financing: Syndicated Financing | Loan | No fixed amount | Open |
| EDC Direct lending | Loan, Loan Guarantee | Direct loans that typically start at $1 million, structured to match your business needs, priced in line with commercial market rates | Open |
