Single-phase (GdNi)_x(BiFe)_1-x O₃ (x = 0, 0.025, and 0.05) nanoparticles of 30-40 nm particle size on average were fabricated using a sol-gel method. Transmission electron microscopy, X-ray diffraction as well as Raman spectral measurements and analyses revealed that the (GdNi)_x(BiFe)_1-xO₃ nanoparticles undergo a structural transformation from the rhombohedral R3c structure (for x = 0 and 0.025) to the triclinic P1 (for x = 0.05). X-ray photoemission spectroscopy served to confirm that co-doping of Gd³⁺ and Ni²⁺ ions decreases oxygen-vacancy concentration, reflecting less Fe²⁺ content in the co-doped samples compared with pure BiFeO₃. Magnetization hysteresis loops showed that the magnetization value for x = 0.05 at 50 kOe increases significantly to M = 5.32 emu/g at 300 K and to 14.47 emu/g at 5 K, representing 760 and 690 % enhancements relative to those for x = 0. Fitting of the Curie-Weiss law to the observed magnetization-versus-temperature curves indicated the presence of weak ferromagnetic coupling in the samples. We also noted the exchange bias effect in the nano-size particles, possibly originating from exchange coupling between surface spins of an uncompensated ferromagnetic nature and core spins of an antiferromagnetic nature. We ascribed these significant improvements in the Gd-Ni-co-doped BiFeO₃ nanoparticles’ magnetic properties to the rhombohedral R3c to triclinic P1 structural transformation, due to the samples’ particle size being smaller than the modulation length of the canted antiferromagnetic ordering of the Fe³⁺ spins. These enhanced magnetic properties, notably, might prove useful for a variety of spintronic applications.