As businesses across Canada face challenges with cashflow, the Government of Canada has announced several support programs to help.
The Canada Emergency Business Account (CEBA) program will provide qualifying business and not-for-profit customers with access to loans of up to $40,000:
- At 0% interest until Dec 31, 2022
- 25% loan forgiveness is available, provided the outstanding balance is fully paid on or before Dec 31, 2022
Funds will be administered through the business owner’s current financial institution.
Several financing options are also available under Canada’s new Business Credit Availability Program (BCAP). These include:
- Canada Emergency Business Account: Loans of up to $40,000 for small businesses and not-for-profits, interest-free for one year. A portion may be forgivable.
- Loan Guarantee: Operating credit and cash flow term loans of up to $6.25 million to SMEs.
- Co-Lending Program: Co-lend term loans to SMEs for their operational cash flow requirements. Eligible businesses may obtain incremental credit amounts of up to $6.25 million through the program.
Each of these programs will be administered through your primary financial institution. Contact them for details and to apply.