BDC LIFT — Lead with Innovation and Focus on Technology

Insider Tip

If you're under $5M revenue, route through the Digital Transformation & AI track — the $1M minimum is much more accessible than the Equipment track's $5M floor, and the mandatory advisory engagement (which adds cost) often unlocks better terms because BDC has already de-risked the project. Source as many components as possible from Canadian suppliers — the preferential rate incentive is real and meaningful over a 5-7 year amortization. Postpone principal payments for the first 12-24 months to align cash flow with the productivity uplift the project is supposed to deliver. Ask your BDC advisor to model the LIFT loan against any existing BDC term loans you have — restructuring older debt into the LIFT envelope can sometimes reduce blended cost of capital.

Success Profile

A mid-size Canadian SME ($2-25M revenue) in manufacturing, agriculture, transport, or professional services that is ready to invest $250K-$2M in a Canadian-supplier digital or equipment upgrade. The company has a clear productivity hypothesis (e.g., 'this AI tool will cut order-processing time 40%' or 'this robotic cell will let us run a third shift without hiring'), can service the loan from existing cash flow, and is comfortable working alongside a BDC advisor. Particularly well-suited to first-time AI adopters that want a guided path rather than open-ended self-directed adoption.

Evaluation Criteria

BDC evaluates LIFT applications on (1) revenue floor for the chosen track, (2) project alignment with eligible categories, (3) credit health and cash-flow capacity to service the loan, (4) clarity of the productivity or AI adoption hypothesis, and (5) commitment to the advisory engagement (AI track). Preferential rate eligibility is assessed separately based on Canadian supplier sourcing.

Application Steps

Required Documents 6

Eligible Expenses 8

• Canadian AI software licenses, subscriptions, and integration work
• Data infrastructure (cloud platforms, data warehouses, integration middleware)
• ERP/CRM/HRIS implementation
• Cybersecurity tools and assessments
• Manufacturing equipment, robotics, automation systems
• Wholesale/transport/construction operational equipment
• BDC Advisory Services engagement fees
• Implementation labour (internal + contracted)

Ineligible Expenses 5

• Refinancing existing debt (general)
• Real estate acquisition (use BDC's separate commercial real estate financing)
• Working capital separate from the project
• Operations not tied to the digital/AI or productivity project
• Personal or non-business expenses

Intake Periods

Continuous intake — apply anytime via the online portal. BDC does not run cohort-based intakes for LIFT.

Deadline Notes

No application window; LIFT is part of BDC's continuous loan-and-advisory portfolio. Submit an online request, consult with a BDC advisor, then proceed to financing review and disbursement. The $500M envelope is multi-year; BDC has not published a target depletion date.

Open Application Portal →

Ineligible Organizations

• Non-Canadian businesses or those without Canadian operations
• Pre-revenue startups (below the $1M floor)
• Real estate investment / passive holding companies

Compatible Programs

Clawback Risk

Low Risk

As a loan, LIFT does not 'clawback' in the grant sense. However, default on loan covenants (missed payments, sale of financed equipment without notice, material misrepresentation in the application) triggers BDC's standard remedies including acceleration of the outstanding balance.