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Government expands Canada Emergency Business Account loans

CEBA Portal

CEBA requirements and deadlines have changed:

  • All applicants now have until March 31, 2021, to apply for CEBA.
  • As of October 26, 2020, eligible Canadian businesses currently operating through a personal bank account will be able to apply for CEBA.
  • *COMING SOON* CEBA support is being expanded from $40K to $60K. This expansion will be available to all eligible previous and new CEBA applicants. Stay tuned to the CEBA website for more details, including launch details in the coming weeks.

 

Small businesses continue to face challenges and uncertainty during the COVID-19 pandemic and the government is providing support to ensure they can stay in business.

Since the spring, the Canada Emergency Business Account has helped almost 800,000 small businesses and not-for-profits in Canada. Today the Deputy Prime Minister and Minister of Finance, the Honourable Chrystia Freeland, announced the expansion of the Canadian Emergency Business Account (CEBA).

Starting on Friday, December 4, 2020, eligible businesses facing financial hardship as a result of the COVID-19 pandemic are able to access a second CEBA loan of up to $20,000 – on top of the initial $40,000 that was available to small businesses.

Half of this additional financing, up to $10,000, will be forgivable if the loan is repaid by December 31, 2022.

This means the additional loan effectively increases CEBA loans from the existing $40,000 to $60,000 for eligible businesses, of which a total of $20,000 will be forgiven if the balance of the loan is repaid on time.

As announced in the Fall Economic Statement, the application deadline for CEBA has also been extended to March 31, 2021. 

To apply, eligible businesses and not-for-profits need to contact the financial institution that provided their initial CEBA loan and provide the appropriate information and documentation. 

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