BDC adds RBC to its Community Banking partners in its $800M Business Accelerator Loan Program

(MONTRÉAL) – July 17, 2025 – The Business Development Bank of Canada (BDC) is pleased to announce the addition of the Royal Bank of Canada (TSX: RY) (NYSE: RY) to its Community Banking partners in its $800M Business Accelerator Loan Program. The Canadian economy is undergoing a fundamental shift, and we need more small businesses growing, and growing faster. As entrepreneurs adapt to a new reality and embrace more aggressive growth opportunities, access to financing needs to keep pace.

OECD research shows commercial financing to Canadian companies grew by 165% since 2011, but the percentage of these new loans going to small and medium-sized businesses decreased from 16% to 8.6%. This downward trend needs to change to ensure our country’s growth because SMEs are the drivers of Canada’s economic engine.

BDC launched its Community Banking initiative in November 2024 to make it easier for entrepreneurs to access financing, to boost Canada’s active small business count, and to help grow the economy.

“We know we can’t leave any entrepreneurship potential behind – changing Canada’s growth trajectory depends on having more businesses growing faster. It’s great to have RBC joining our trusted Community Banking partners, allowing us to reach more entrepreneurs that currently fall outside the standard business mold. That’s where Canada will see the biggest gains, by harnessing the full spectrum of entrepreneurial potential,” said Miguel Barrieras, Chief Community Banking and Impact Officer of BDC.

One of the key components of BDC’s Community Banking initiative is its Business Accelerator Loan Program, which provides additional liquidity to business owners through partner organizations that they know and trust. The Toronto-Dominion Bank (TD), Meridian Credit Union, Desjardins, NLCU, Vancity and Alterna Savings are part of this program, with RBC joining them and others to come.

BDC provides a loan guarantee to financial institutions for this program. The risk-sharing financing solution, which guarantees loans to small and medium-sized businesses, was created with a key goal in mind: supporting businesses with unconventional business models, outside metropolitan centers, with little credit history, Indigenous entrepreneurs, or from other underserved or underrepresented groups.

This approach helps expand access to funding for growing businesses that may not qualify for traditional lending with less than $10 million in revenue and that have been operational for over 12 consecutive months. The financing can be used to fund operating cash flow needs and is geared towards smaller loan sizes that are often more challenging to obtain.

“With the Business Accelerator Loan Program, we’re giving more entrepreneurs the financing they need to turn their ideas into action and build viable businesses,” said Niranjan Vivekanandan, EVP & Chief Operating Officer, RBC Commercial Banking. “We’re proud to collaborate with BDC on an inclusive and accessible funding solution that supports their long-term resilience in an evolving economic landscape.”

The Business Accelerator Loan Program is in addition to the work BDC is doing with other Community Banking partners such as First Nations Bank of Canada, NACCA, Futurpreneur, FACE, and Evol. As Canada's development bank, BDC’s mission is to create economic benefits for Canada by developing underserved portions of the market with growth potential.

About BDC: 80 years as Canada’s bank for entrepreneurs  

BDC is a partner of choice for all entrepreneurs looking to access the financing and advice they need to build their businesses and tackle the big challenges of our time. Our investment arm, BDC Capital, offers a wide range of risk capital solutions to help grow the most innovative firms. BDC’s development role means we are in a state of perpetual evolution – wherever entrepreneurs go and whatever the Canadian economy needs – we will be there to help them defy the odds. 80 years later, that commitment remains very much alive. BDC’s financing services in 2025 alone will add an estimated $25 billion in GDP to Canada’s economy over the next five years. We are one of Canada’s Top 100 Employers and Canada’s Best Diversity Employers, and the first financial institution in Canada to receive the B Corp certification in 2013. For more information on our products and services and to consult free tools, templates and articles, visit bdc.ca or join BDC on social media.

—30—