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Forestry Support Program Helping you adapt your business

Get expert advice and financing to support your operations amid rising trade uncertainty and economic pressures.

How the forestry support program can help

Sector-specific support

Flexible financing to help you adapt

Advice to personalize your roadmap

We understand your challenges and offer options

LIQUIDITY SUPPORT

Financing to stabilize cash flow

Get up to a $25M loan1 to support your operations and cash flow needs, with flexible, interest-only terms designed to maintain continuity and bridge short-term financial pressures due to tariffs and economic headwinds.

TRANSFORMATION SUPPORT

Technology and strategic partnerships for growth

Access financing and expert advisory support to modernize manufacturing. Explore mergers and acquisitions or invest in automation, AI and equipment to improve productivity, efficiency and long-term competitiveness.

SOFTWOOD LUMBER GUARANTEE PROGRAM

Working with participating financial institutions

Access term loans and letters of credit through your financial institution, backed by a BDC guarantee—designed to strengthen liquidity for Canadian softwood lumber mills and remanufacturers.

Forestry Support Program at a glance

Liquidity support Transformation support 
For forestry manufacturing and service companies  For forestry manufacturing
Financing must be used strictly for operational cash flow A transformation plan outlining investments, costs and expected gains
Purpose: Immediate liquidity and business continuity Purpose: Strategic transformation and future positioning
For Working capital For investment projects
Financing only Financing and consulting services
Manufacturers: Up to $25M. Service companies: Up to $10M Manufacturers: Up to $25M
Interest-only period with shorter terms (36 to 96 months depending on sub-sector) Interest-only period with longer terms (up to 144 months) and extended amortization
Applies to both solutions: Must demonstrate financial pressure (cash-flow challenges, revenue or EBITDA decline) or tariff exposure  
Applies to both solutions: Tariffs are a key eligibility factor for some sub-sectors (e.g., sawmills, finished wood products)  

Resources

Frequently asked questions

BDC is enhancing its Softwood Lumber Guarantee Program and offers 2 new financing options for businesses across the full forestry sector value chain. The Forestry Support Program is structured around 3 distinct offers.

The Liquidity support provides access to working capital to help maintain operations, protect jobs and give businesses time to adapt. Depending on their segment, companies can obtain up to $25 million in financing to provide temporary liquidity at preferential rates.

The Transformation support allows forestry manufacturers to access financing of up to $25 million and work with BDC Advisory Services to build a structured roadmap that improves productivity and competitiveness, including adopting advanced technologies such as AI and automation. It may also include a review of strategic growth opportunities, including partnerships or merger and acquisition scenarios.

The indirect Softwood Lumber Guarantee Program enables businesses to get financing from their financial institution with a BDC-backed guarantee.

The objective of the Forestry Support Program is to provide flexible options and give otherwise sound businesses the time needed to navigate this period, protect jobs, maintain operations and adapt. 

Companies with revenues below $2 million can contact Canada’s Regional Development Agencies to identify funding and support programs tailored to their region.

No, you can’t apply for the Liquidity support if you operate in either the softwood lumber mills or remanufacturing sectors, and you obtained support through the Softwood Lumber Guarantee Program. However, you may still be eligible for the Transformation support.

Once you completed the BDC online application form, a representative will contact you to request additional documentation. You should prepare:

  • An organizational chart
  • 3 years of financial statements, including interim FIs, if applicable
  • Recent financial statements including cash-flow statements
  • Borrowing based information and compliance certificate
  • Tariff-related requirements and supporting information for finished wood product manufacturers

More detailed documents could be required depending on your specific sub-sector.

In addition to our various other financing solutions, our Advisory Services experts are also happy to support you in related areas that can help you take proactive measures to protect your position, such as financial management, operational efficiency and strategic planning. For more information and resources, visit our trade and uncertainty page

Yes. Eligible companies may also use other BDC or government support programs, where permitted, to meet their needs, except for the Softwood Lumber Guarantee Program (see conditions above).

1. Conditions apply. Subject to loan approval. Maximum loan amounts may differ by sectors. Businesses must demonstrate direct or indirect negative material impact on their operations and profitability due to U.S. tariffs or related uncertainties or current economic downturn. Loan must be used to address potential impacts from tariffs or related uncertainties or current economic downturn or to implement a transformation project. The business must have been viable before the implementation of tariffs (exception for Sawmills). If you’ve obtained a loan through the Softwood Lumber Loan Guarantee Program, you are ineligible for the Liquidity loan.