(October 25 – 17:00 ET) – The Business Development Bank of Canada (BDC) and the Laurentian Bank of Canada have announced a strategic alliance. Their goal is to focus on the needs of Canadian small and medium enterprises by giving them access to their combined range of financial products and consulting services.
The alliance between the two institutions will last three years. They have agreed to consider renewal of the alliance when the three years is up.
It targets dynamic and growing businesses operating in the manufacturing sectors as well as the telecommunications, biotechnology and information technology sectors. “This partnership opens the way to growth and exports for nearly 30,000 medium-sized businesses in Canada”, says Henri-Paul Rousseau, president and CEO of the Laurentian Bank of Canada. “This alliance will offer a new avenue for businesses whose requirements do not correspond to traditional banking services.”
A $100-million fund – $50 million per institution – has been pooled. Businesses that have a well-established financial structure and have already proven their capacity to repay can obtain a maximum loan of $10 million – $5 million per borrower, per institution.
Small businesses will be able to obtain various financial and consulting products for projects such as acquisition of machinery and manufacturing equipment, increasing productivity, development of national and international markets or acquisition of trademarks, licences, patents and other intangible assets.
In addition, the banks are committed to returning calls within two hours of the application and to visiting customers, if applicable, within 48 hours.
The products and services offered under this alliance will be available through Laurentian Bank’s commercial banking centres and BDC’s traditional and virtual branches located in Canada’s metropolitan regions.
-IE Staff