Definition of Business Development Bank of Canada (BDC)
The Business Development Bank of Canada (BDC) is a financial institution founded in 1944 that is wholly owned by the government of Canada, providing financial and consulting services to small and medium-sized Canadian businesses. It describes itself as the only Canadian bank devoted entirely to the needs of entrepreneurs, supporting small and medium-sized businesses (SMEs) in all industries and at every stage of growth with money and advice.
Although the BDC provides its services to all small business, it focuses on the technology and exporting industries in particular. The BDC's vision as stated on their website is "to make a unique and significant contribution to the success of dynamic and innovative entrepreneurship in Canada." The BDC also provides Canada-specific economic analysis and research to its clients and the greater public.
Understanding the Business Development Bank of Canada (BDC)
The Business Development Bank of Canada has operated for more than 75 years with 123 physical business centers located throughout the country. It is in the business of helping Canadian entrepreneurs and small business owners succeed and remain competitive in a global marketplace. To date, it has helped more than 56,000 entrepreneurs - clients that have employed more than 900,000 people, generating $251 billion in revenues.
The BDC helps small businesses by extending them loans and working capital financing, as well as advisory services providing practical solutions and objective advice to help growing businesses successfully address a wide range of challenges and opportunities. Seed stage companies are additionally helped through a venture capital (VC) arm, which focuses primarily on information technology, healthcare & biotech, and clean/green energy startups located in Canada.
The Business Development Bank of Canada is a certified B Corporation, meaning that it meets the highest global standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose, in line with ESG criteria. B Corps are accelerating a global culture shift to redefine success in business and build a more inclusive and sustainable economy. It is also a Crown corporation, a wholly owned federal or provincial organizations structured like private or independent companies. Among them are several other important enterprises such as the Canadian Broadcasting Corporation (CBC), VIA Rail, Canada Post, and the Bank of Canada, as well as various provincial electric utilities. Because of this, the BDC is financially sound and can extend loans and provide aid to ventures that traditional banks and financial channels may deem too risky or unprofitable.