Loans for business

Almost any business needs additional funding. Any new projects will necessarily entail the search for funds for implementation. This challenge is faced by many businesses in Canada and elsewhere in the world.

To help in such situations, the unique Working Capital Loan program has been specially developed. It is designed to help you deliver important projects without taking profits out of business into a risky endeavor.

The maximum amount issued is up to $2 million.

Financing can be spent to:

• strengthen your line of credit. For example, you can purchase additional equipment in order to fulfill orders as quickly as possible

• start projects aimed at the business expansion. You can enter new markets, develop new products, protect intellectual property, launch a marketing campaign

• increase profitability. You can pay suppliers in advance to receive special discounts, as well as to train employees and get certified.

The program is designed in such a way that the proposed business investment will meet your needs.

What are the benefits of the Working Capital Loan program?

In our opinion, the best distinguishing feature of this program is that its commission for issuing loans is not guided by dry numbers. Experts try to look much deeper than bank ratios and can competently assess your management approach and project potential. The terms of the program are not changed without a good reason. Moreover, under the program, your personal assets will not be taken as collateral for the loan.

You have a small business and you’re looking for solutions that go beyond your usual business investment? The experts behind the program will help you balance your financing package with interest and parity terms. No property dilution.

Want to know more about other programs? Then you may be interested in the Small Business in Canada Financing program.

The program makes it easy for small business in Canada to obtain loans from financial institutions. Under the program, the state shares the risk with the lenders.

What is the maximum loan amount? $1 million. If you are a profit-oriented small business in Canada or a startup in Canada and your total annual revenues are $10 million or less, you may qualify for a loan.

You can apply for a loan to launch a startup or develop or improve your small business.

What exactly can be financed? You have the right to use funds to purchase or improve equipment, including vehicles and renovation of leased property. The maximum threshold of available money, in this case, is $350 thousand. Loans up to $1 million are available for the purchase or improvement of commercial property.

Are there any restrictions? Yes. For example, you cannot use a loan to finance [among other things] working capital, inventory, salaries, or advertising. We will help you apply for a loan: competently and fully present your business proposal directly to a registered bank or credit union. Your financial institution is responsible for a loan approval, and we will help you present your project in the best possible way.

What about quick loans?

At the time of writing this article, the rapid relief program for businesses affected by the aftermath of the COVID-19 epidemic is active. Such businesses can get an interest-free loan up to $40 thousand. Funds can go on operating expenses if your business’s revenues have declined due to the economic impact of the pandemic.

Also, you can get a loan up to $100 thousand if you are a small business in Canada.

Who can get such a loan? Business:

• located in Canada

• generating profit for the last 24 months

• with a good credit history

• which has an adult owner

What about equipment loans?

If you need to expand or modernize processes and replace old equipment, you can get funding to cover the costs associated with buying new or used equipment. The goal of the program is to help you increase production and accelerate your growth.

What can you spend money on:

• increase production capacity: purchase machinery for production lines, equipment or specialized equipment such as laboratory instruments

• increase your efficiency: invest in transportation vehicles for commercial use or modernization of operations

• supplement your line of credit. Replenish working capital depleted by equipment costs.

Funding for the program meets the specific needs of the business. In-house program specialists use a variety of techniques to study your company to help you get business investments in a way that will bring the greatest impact.

The terms of the program are truly flexible. You can align payments with your cash flow cycle so you don’t waste the finances you need for your daily tasks. Additional funding to cover existing costs can be spent on delivery, installation, and training of workers to use the equipment. Under the program, your personal assets will not be pledged as collateral for the loan, and the loan conditions do not change without a really significant reason.

There is another similar program from the state organization edc. It deals with business investments in the technology sector. This type of investment is one of the best ways to stimulate growth, reduce costs, and increase productivity. Such kind of technology loans can help companies optimize their operations and become more profitable.

What investments can be used for:

• computer equipment. Purchase of servers, networks, or computers

• computer programs. You can invest in solutions of any direction (integrated enterprise management systems (ERP), customer relationship management systems (CRM), programs for personnel management and accounting

• digital marketing: website building, digital commerce or social media work

• сonsulting services: pay for expert planning, strategy, security, or online sales.

We guarantee that we can help you get such a loan as soon as possible.

Regarding startups

Is your business still young? Then you may be interested in another program from bdc. As you know, one of the biggest challenges for small companies is getting adequate funding. This program helps startups in Canada. The condition is that your business must function for at least 12 months and generate profits.

What can you spend funding on:

• development of the company. Buy assets, pay entry fees, or buy a franchise

• set of revolutions. Invest in marketing, website building, or consulting services

• supplement your line of credit. Replenish working capital depleted by start-up costs.

In general, bdc presents a number of similar programs. Another support program for startups in Canada also helps small businesses get adequate funding. Funds are provided to businesses during the development period. As in the previous case, the business must function for at least 12 months and generate income.

What you can spend money on:

• you can provide essential basic support to your business in Canada. Purchase assets, pay the required fees to launch a startup, or purchase a franchise

• situational costs. You can invest in marketing, website development, or getting qualified help from relevant experts

• addition of a credit line. You can replenish working capital depleted by start-up costs.

Long-term loans

Do you need to purchase commercial property? The cost of the issue is often so high that the wrong decision in the choice can critically negatively affect the business. How to make the right choice and get the support of the administration? We will expertly advise you on this matter.

What financing can be spent on:

• expansion. You can purchase land or buildings, as well as cover the cost of developing new buildings

• improvement. You can expand or renovate the premises

• you can supplement your line of credit, top-up working capital depleted by real estate spending.

And even more! You can get additional financing on top of a real estate loan. This funding is used to cover additional costs such as relocation.

Loan to buy an existing business in Canada

The aforementioned bdc organization can provide you with credit to buy a company, make a merger, or acquire a competitor to expand your business. You can get the funding and support you need from our experts to complete a seamless transaction that benefits both your business and the business you acquire.

What can you spend funding on:

• acquisition of fixed assets. You can purchase land, building, equipment, or a share in an existing business

• business buyback. You can provide funding to build a family legacy, management buyout (MBO), or refinance vendor finance (vendor return)

• acquire intangible assets. Access additional funding to obtain intellectual property, business reputation, and customer lists.

Our experts will help you to draw up a loan program correctly in such a way as to optimally protect the authorized capital. Are your chances of getting such a loan good? Yes, because thousands of companies have received funds under the program over its history. Why shouldn’t yours be among them?

Authorized capital

Speaking about the authorized capital, we decided to touch upon the topic of its financing from the state.

The bdc structure helps finance key projects requiring separate authorized capital with loans.

The funds allocated for under the program are:

• an addition to a credit line. For example, purchasing inventory for fast order fulfillment

• launching growth projects. You can enter new markets, develop products, protect intellectual property, launch a marketing campaign

• increased profitability. For example, paying suppliers in advance in order to receive special discounts, obtaining certificates, and training employees.

Do you want to know more about business finance programs in Canada? We constantly keep our finger on the pulse of any changes on this issue. Contact our specialists! We are guaranteed to provide you with competent advice on how to obtain such financing in a short time and without unnecessary hassle. Do you have any questions? Contact our consultants for a free preliminary consultation!