Canada Emergency Business Account
Additional COVID-19 Resources
GGFL Service Changes
Updates June 23, 2020
Applications are now open for the Canada Emergency Business Account (CEBA) through financial institutions. CEBA will provide business owners with a loan of up to $40,000 that is interest free until the end of 2022. Up to $10,000 of the loans may be considered a grant and will not have to be repaid, if 75% of the initial loan amount is repaid by the end of 2022. To be eligible, companies need to have had payroll between $20,000 – $1,500,000 in 2019.
In June, the government announced that they are expanding the qualifying criteria to include ole proprietors receiving business income directly, as well as family-owned corporations remunerating in the form of dividends rather than payroll. These companies will qualify if they have:
- A business operating account at a participating financial institution;
- A Canada Revenue Agency business number;
- Tax returns from 2018 or 2019; and
- Eligible non-deferrable expenses of between $40,000 and $1.5 million.
Applications for the expanded CEBA were originally scheduled to open on June 19th, but have been delayed. The government hopes to announce details of the new date shortly.
On April 17th, the government announced new aid programs for innovator and start-up companies that do not qualify for the Canada Emergency Wage Subsidy or the Canada Emergency Business Account. To help these companies, $962M will be provided to regional development agencies and the Community Futures Network. An additional $270M will be provided to Futurpreneur and the Industrial Research Assistance Program to help early stage companies. The Prime Minister also announced $500M will be provided to Heritage Canada to assist the arts, culture and sports communities.