Montreal, Quebec, November 14, 2007 Within the context of the report issued by the Canadian Federation of Independent Business on SMEs and banking institutions, BDC believes that access to financing is still a challenge for some entrepreneurs. BDC also notes that in supporting these SMEs, it is effectively fulfilling its complementary role in the Canadian financial services industry."The constant increase in the number of loans we grant to small business start-ups, exporters and manufacturers, as well as to those who invest in innovation and strategic intangible assets, is evidence of the gaps that exist in the market and of the importance of BDC's complementary role for entrepreneurs looking for flexibility in their financing," explains Edmée Métivier, BDC Executive Vice-President, Financing & Consulting.Start-up, productivity and innovation financing for SMEsBDC supports a growing number of small business start-ups. From 2003 to 2007, the number of loans authorized by BDC to businesses at the start-up stage increased 78% from 809 to 1,438. The number of loan authorizations, for amounts up to $150,000, to start-ups with no or limited collateral grew 400%, from 202 to 1,010 authorizations.Given the challenges faced by small business manufacturers and exporters as a result of globalization and the increase in the value of the Canadian dollar, BDC focuses on these businesses to help them become more productive and more competitive. From 2003 to 2007, for example, the number of loans authorized to finance the purchase of new machinery increased 24% from 1,479 to 1,838. In addition, BDC helps SMEs improve their productivity by providing consulting services to help them set up value-added production processes.BDC firmly believes that Canadian SMEs must invest in their strategic intangible assets in order to innovate and become more competitive. Over the past five years the number of loans authorized by BDC to support investments in research and development, process reengineering, employee training and management training has grown from 549 to 2,426 loans, an increase of 342%.Financing that goes beyond the value of securityBDC's loan terms and conditions are designed to give companies access to the capital they need to grow, and are not based solely on their ability to provide security. In addition, repayment terms and conditions are adapted to the cycle and needs of each business, with longer amortization periods, seasonal or progressive payment schedules, and the possibility of deferring principal payments.Value-added consulting servicesIn addition to the complementary financing solutions it brings to the marketplace, BDC has a national network of professional business consultants to help SMEs evaluate, plan and implement customized and effective management solutions."When they are successful, SMEs make a significant contribution to the Canadian economy. This is why BDC's sole mandate is to help them prosper. We have in-depth knowledge of their competitive environment, their changing needs and the many challenges they have to face. With a customer satisfaction rating of 93%, BDC is an interesting choice for Canadian SMEs," Métivier concludes.About BDCBDC is a financial institution wholly owned by the Government of Canada. BDC actively supports the development and growth of Canadian small and medium-sized businesses through its complementary financial, investment and consulting solutions.
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