US Citizen buying Canadian business

searcher profile

December 31, 2024

by a searcher from University of Nebraska-Lincoln - College of Business Administration in Washington, DC, USA

Hi All,

I am looking to submit an offer on a Canadian based business. However, I live in the US. Does anyone know what the financing options would be for a business like this? If it helps they are asking $7M USD and $2M EBITDA.

1
26
318
Replies
26
commentor profile
Reply by a searcher
from University of Tennessee in Nashville, TN, USA
Revised from an earlier, deleted post, you can use the SBA for international expansion into Canada. This may not apply to you currently but may in the future if structured properly. Sorry for the confusion.

(NOTE: I've tried repeatedly to correct the links below, to no avail. Please copy an paste the links for the correct location.)

The best online article that I've describing the program is found here:
https://www.sba7a.loans/sba-7a-loans-small-business-blog/international-trade-loans/

The SBA's list of participating lenders can be found here:
https://www.sba.gov/document/report--participating-export-lenders
commentor profile
Reply by a searcher
from University of Western Ontario in Toronto, ON, Canada
Thanks for the tag, Luke. I will reiterate what most have already mentioned here.
There is no SBA equivalent in Canada so your best bet is financing through one of the commercial lending divisions of the big 6 banks in Canada: RBC, TD, CIBC, National Bank, BMO, Scotiabank.
There are some smaller regional banks like Laurentian, CWB (Canadian Western Bank) that may make sense depending on the deal.
As others have mentioned, EDC and BDC are government-owned banks that are specifically catered towards Canadian businesses and entrepreneurs. They have some good programs but will need to check eligibility.
commentor profile
+24 more replies.
Join the discussion