BDC Equipment Loan
Our Equipment Loan covers up to 125% of the purchase price of new or used equipment for extra flexibility and peace of mind.*
Get machinery, hardware, vehicles or equipment to help your business step up its game. You can match your payments to your cash flow cycle to make sure your purchase is up and running when it counts.
Offered by Business Development Bank of Canada (BDC)
Amount
Up to 125% of the purchase price of new or used equipment; loans from $10,000 up to several million dollars, repayable over up to 12 years with interest-only payments for up to the first 24 months
Quick eligibility check
Who can apply
- Location: Based in Canada
- Time generating revenue: 12 months +
- Profitability: Generating revenue
- Credit history: Good track record
- Any Canadian entrepreneur with a viable business plan can apply for a BDC loan
- Business type: Growing companies and established businesses across most sectors are eligible
- Location: Must operate in Canada
- Canadian operations: Your business must be registered and active in Canada
- Minimum time in business: Typically, your business should be operating for at least 12 months
- Certain loan types may have different requirements, and some businesses may qualify based on a strong plan and projections
- Revenue requirements: Demonstrate consistent revenue or a clear path to generating income
- Generating profits: Your business should show profitability or a clear path toward it
- Cash flow capacity: Show that you can manage repayments comfortably
- Credit history: A good credit score helps, but BDC evaluates your overall financial health and growth potential—not just the number in your credit report
- Business plan: A solid plan with realistic financial projections and clear objectives is essential
- Ownership: Owners and shareholders must have reached the age of majority
- Between 12 and 24 months (depending on the loan type) of revenue-generating operations
- Shareholders of legal age with good credit history
Who can't apply
- Promote violence or cruel behaviour: Organize, produce, advertise, sell, or disseminate intense violent content (18+ or unrated content); Incite hatred or cruel behaviour; Discriminate based on race, national or ethnic origin, colour, religion, sex, age and/or mental or physical disability; Participate, support, engage or indirectly promote any form of human rights abuse; Operate a business organizing or perpetrating violent or cruel behaviour
- Operate any form of sexually exploitive business such as an escort service, brothel, erotic massage parlour, strip club, swinger’s club, or motel that rents rooms by the hour
- Produce, advertise, sell or disseminate pornographic content or sexually explicit content (18+ or unrated content)
- Charitable, religious, and fraternal organizations
- Unions, political/lobbying, and advocacy organizations
- Government ownership
- Private schools
- Medical and personal care, nursing, and rehabilitation centres
- Market speculation activities
- Residential properties
- Drug industry: marijuana/cannabis or related products/services industry
- Virtual currency and Non-Fungible Token (NFTs)
- Financial services or similar activities
- Bars, lounges, or similar establishments
- Gambling operations
About the funding
Our Equipment Loan covers up to 125% of the purchase price of new or used equipment for extra flexibility and peace of mind.*
Breathe easy with interest-only payments
Take a break on us and pay only interest for up to the first 24 months of your loan.
Get extra cash to cover extra costs
Show all funding details
Finance up to 125% of the purchase price of your equipment to help cover extra expenses like shipping, installation and training.
Repay, your way
Keep cash in your business and take up to 12 years to repay your loan. You can also match your payments to your cash flow cycle for added flexibility.
Take time to find the right equipment
Benefit from additional credit availability for up to 2 years to help you finance future purchases.
Do you offer equipment lines?
Yes. If you qualify, you can access an equipment line to purchase the equipment you need over a 12- to 24-month period (depending on the sector in which your business operates). The rates and terms are guaranteed. Once your purchases are complete, you’ll have a 6-year repayment period. Funds are released as you need them—if you stay within your pre-approved limit—so you can acquire on your own schedule, with no surprises.
How much can I apply for?
BDC offers a range of business loans, depending on your needs and eligibility:
- Amount: Our loans range from $10,000 up to several million dollars for large growth projects.
Get the gear you need
- Production line machinery
- Automated equipment
- Robotics systems
- Hardware
- Specialized equipment (ex: lab material)
- Commercial vehicles
- Renewable energy and waste management equipment
- And more
Similar programs
| Program | Type | Amount | Status |
|---|---|---|---|
| BDC Loan for tech companies | Loan | No fixed amount | Open |
| BDC Small business loan | Loan | Up to $350,000 per BDC Small Business Loan: up to $100K (up to 6 months interest-only payments, 5-year amortization) or over $100K and up to $350K (up to 12 months interest-only payments, up to 8-year amortization) | Open |
| BDC Technology Equipment Loan | Loan | No fixed amount | Open |
| BDC Working capital loan | Loan | No fixed amount | Open |
