- Your business was directly or indirectly impacted by COVID‐19
- Your business was financially stable and viable prior to the current economic situation
- The financing will be used solely to support operational cashflow requirements
- Subject to your primary financial institution’s credit criteria
COVID-19 Indigenous Tourism Business Support
Indigenous Tourism Grants and BC Business Grants
Indigenous Community Business Fund
The Indigenous Community Business Fund is a non-repayable grant contributions of up to $250,000 per community to First Nation and Inuit community-owned and Métis collectively owned businesses and microbusinesses in response to the economic impacts of COVID-19.
Tourism Relief Fund
The Tourism Relief Fund, administered by Canada’s regional development agencies and Innovation Science and Economic Development Canada (ISED), supports tourism businesses and organizations adapt their operations to meet public health requirements while investing in products and services to facilitate their future growth. For BC, this fund is administered by Western Economic Diversification.
Job and Growth Fund
The Jobs and Growth Fund (JGF) is a $700-million federal program to support regional job creation and position local economies for long-term growth.
The fund will help job creators and the organizations that support them future-proof their businesses, build resiliency and prepare for growth by supporting the transition to a green economy; fostering an inclusive recovery; enhancing Canada’s competitiveness through digital adoption to improve productivity and manufacturing processes; and strengthening capacity in sectors critical to Canada’s recovery and growth.
Community Economic Recovery Infrastructure Program (CERIP)
The projects will help communities impacted by COVID-19 and support B.C.’s post-pandemic economic recovery.
Eligible applicants can receive a one-time, 100% funded provincial grant to support four key streams:
Community Economic Resilience
Destination Development
Unique Heritage Infrastructure
Rural Economic Recovery
Review each stream for specific funding cap information. All funds will be paid out by March 31, 2021. Projects must start by December 31, 2021 and end by March 31, 2023.
BC Indigenous Agriculture Development Program
The B.C. Indigenous Agriculture Development Program, started in 2018, is part of the Canadian Agricultural Partnership. The Canadian Agricultural Partnership is a five-year, $3-billion investment by Canada’s federal, provincial and territorial governments to strengthen and grow Canada’s agri-food and agri-products sectors.
This commitment includes $2 billion for programs cost-shared by the federal and provincial/territorial governments that are designed and delivered by provinces and territories.
Fisheries and Aquaculture Clean Technology Adoption Program Renewal
A renewed Fisheries and Aquaculture Clean Technology Adoption Program (FACTAP) has been launched (click here for the news release). As you may be aware, Federal Budget 2021 proposed an investment of $10 million to extend the program for two more years.
These additional funds will support Canada’s fisheries, aquaculture and seafood processing operations in adopting clean technologies to improve the environmental performance and competitiveness of these industries.
Local Food Infrastructure Fund (LFIF)
The LFIF is aimed at community-based, not-for-profit organizations with a mission to reduce food insecurity by establishing and strengthening their local food system. This fund has re-opened with double the funding.
Applications opened on July 12th, 2021 and funding is to help prevent hunger through investments in infrastructure needs. Project impacts must be targeted, immediate, and directly related to addressing food insecurity and increasing the accessibility of healthy, nutritious and ideally local foods within the community.
Indigenous Business & Tourism-Specific Loans
Indigenous Emergency Loan Program
FeDERAL
The Federal Government announced $306.8 million dollars to support Indigenous business in Canada. These funds will be administered through the National Aboriginal Capital Corporations Association (NACCA) and the Aboriginal Financial Institutions throughout Canada. Please connect with the Aboriginal Financial Institution closest to you. The full list of Aboriginal Financial Institutions in BC is below.
Applications are now being processed. and your business could qualify for an interest-free loan of up to $40,000, with 75% repayable and a maximum of 25% available as a non-repayable contribution.
Connect with the nearest Aboriginal Financial Institution.
| Aboriginal Financial Institutions in BC | |
|---|---|
| Aboriginal Business and Community Development Centre | Prince George |
| All Nations Trust Company (ANTCO) | Kamloops |
| Burns Lake Native Development Corporation (BLNDC) | Burns Lake |
| CFDC of Central Interior First Nations | Kamloops |
| Haida Gwaii Community Futures | Massett |
| Métis Financial Corporation of BC (MFCBC) | Surrey |
| Native Fishing Association (NFA) | West Vancouver |
| Nuu-chah-nulth Economic Development Corporation (NEDC) | Port Alberni |
| Stó:lō Community Futures Corporation (SCF) | Chilliwack |
| Tale’Awtxw Aboriginal Capital Corporation (TACC) | West Vancouver |
| Tribal Resources Investment Corporation (TRICORP) | Prince Rupert |
Highly Affected Sectors Credit Availability Program (HASCAP)
Federal
The Highly Affected Sectors Credit Availability Program (HASCAP) provides businesses heavily impacted by COVID-19, access guaranteed, low-interest loans of $25,000 to $1 million to cover operational cash flow needs.
HASCAP is available to businesses that operate in sectors such as tourism and hospitality, restaurants and those that primarily rely on in-person services.
The program is available at some participating financial institutions. Other participating financial institutions will deploy the program progressively over the days that follow.
Business Loans
Canadian Emergency Business Account
Federal
The Canada Emergency Business Account (CEBA) will provide interest-free loans to small businesses and not-for-profits to those businesses affected by COVID-19. It is available through Canada and major financial institutions.
Types of Loans
Up to $40,000, interest free for two years with $10,000 forgiven if certain conditions met.
Eligibility and Process
Business will be required to show they have been impacted by COVID-19, have been financially viable beforehand and have had $20,000 to $1.5 million in total payroll in 2019. No guarantee needed.
Update
The federal government has recently expanded the eligibilty requirements to those small businesses who have less than $20,000 in payroll. It would require your small business to have
- a business operating account at a participating financial institution
- a Canada Revenue Agency business number, and to have filed a 2018 or 2019 tax return.
- eligible non-deferrable expenses between $40,000 and $1.5 million.
Co-Lending Program
Federal
Between $1 million and $12.5 million for cashflow needs, including regularly scheduled principal and interest payments on existing debt.
Postpone principal payments for up to 12 months if you need additional breathing room. Available until or before June 2021.
Eligibility
Regional Relief and Recovery Fund (RRRF)
The Regional Relief and Recovery Fund through Western Economic Diversification is available to those who are not able to access the Community Futures Emergency Loan. Sole proprietorship and non-profits are not eligible for the RRRF.
There are two streams of applications available, for under $40,000 and over $40,000.
Regional Relief and Recovery Fund - Women's Enterprise Initiative Stream
The Regional Relief and Recovery Fund (RRRF) was announced by the Government of Canada to provide financial support directly to small and medium-sized women-owned or -led businesses. Loans of up to $60,000 are available through Women’s Enterprise Initiative (WEI) organizations across Western Canada to address COVID-19 impacts on short-term stability.
This access to financing will support small enterprises that are unable to access larger federal relief funding programs, or unable to obtain a loan/credit from traditional financial institutions, and that are struggling with working capital needs.
Eligibility requirements
- Small and medium-sized women-owned or women-led businesses
- Eligible applicants include sole proprietors and “main street” businesses, such as retail shops, restaurants, corner stores etc. and businesses of strategic importance to the community.
- Eligible applicants must also meet the following criteria which will be captured in an attestation form:
- established prior to March 1, 2020;
- impacted adversely due to the COVID-19 pandemic;
- viable and not experiencing financial pressures prior to March 1, 2020;
- are ineligible, and/ or not receiving other federal relief support for the same expenditures.
Community Futures Emergency Loan Program
COMMUNITY FUTURES EMERGENCY LOAN PROGRAM
Small and medium-sized businesses who operate in rural, or non-metropolitan areas that are not eligible for the Canadian Emergency Business Account (CEBA) have access to the Community Futures Emergency Loan Program. Businesses can apply for an interest-free loan for up to $40,000 dollars.
If 75% of loan is repaid by December 31, 2022, the remainder of the loan is forgiven. There are no pre-payment penalties and it includes a blended principal and interest payments beginning January 1, 2023 and loans must be repaid by December 31, 2025
Vancity Unity Pivot Loan
The Unity Bridge Loan offered by Vancity is aimed at supporting self-employed persons impacted by COVID-19. This term loan will be offered to those who’ve been self-employed for more than two years, and were profitable (break-even or better) prior to COVID-19.
EDC Business Credit Availability Program (BCAP) Guarantee
If your business needs access to working capital to cover operational costs as a result of the COVID-19 pandemic, you may be eligible for the EDC BCAP Guarantee. This guarantee is for new operating lines of credit or new term loans to support your cash flow needs.
Your business does not need to have export sales to qualify for this program. Eligibility for the EDC BCAP Guarantee is subject to additional requirements through approved financial institutions.
Financial Support for Business Owners
Canada Emergency Response Benefit
Description
The Canadian Emergency Response Benefit (CERB) will provide $2,000 a month for up to four months for those who lose their income as a result of the COVID-19 pandemic.
Eligibility
You are eligible if you are over 15 years old, and have lost your income because of COVID-19. You will have had employment or self-employment income of at least $5000 in 2019 or in the last 12 months prior to your application date.
Recent changes now support part-time and seasonal workers. You will be eligible for CERB if you earning $1000 a month or less, unable to work because seasonal jobs have not yet started or have exhausted their EI since January 1, 2020.
Process
Applications are jointly processed by Service Canada and the Canada Revenue Agency. Once you apply, you will begin receive CERB payments within 10 days of application, as long as you have a CRA account and sign up for direct deposit. CERB will be available from March 15, 2020 until October 3, 2020 and can be backdated to March 15, 2020.
Amounts
The CERB provides $500 a week for up to 16 weeks.
Canadian Recovery Benefit (CFB)
Description
The CRB provides $500 per week for up to 26 weeks for workers who have stopped working or had their income reduced by at least 50% due to COVID-19, and who are not eligible for Employment Insurance (EI).
Support for Your Employees
Canada Emergency Wage Subsidy
federal
The Canada Emergency Wage Subsidy (CEWS) is a 75% wage subsidy for employers for up to 12 weeks, retroactive to March 15, 2020. This program is meant to support businesses in keeping or re-hiring staff and support the return to normal operations after the crisis. Applications for this program is now open.
Eligibility
An eligible business has an existing business with business number and payroll program account with CRA as of March 18, 2020. You pay salary, wage, or other remuneration to employees.
Eligible employers would include individuals, taxable corporations, and partnerships consisting of eligible employers as well as non‑profit organizations and registered charities. It does include Indigenous community-owned businesses.
Businesses are required to show a 15% reduction of revenue for March 2020 and 30% for the following months. This reduction can be shown by either comparing monthly revenue loss to the same month in 2019, or comparing your revenue loss to the average revenue loss of January and February 2020.
Timeline
You can start reducing remittances of federal, provincial, income tax in the first remittance period that includes remuneration paid between March 18, 2020 and June 20, 2020. Payments will be administered through the CRA, and will be processed between 3 and 6 weeks. Businesses will receive cheques within 10 days if have CRA account and direct deposit set up.
Process
Eligible employers can apply through the CRA My Business Account portal. Employers will need to keep records demonstrating their reduction in arms length and remuneration to employees.
Amounts
The subsidy will cover up to 75% of wages on the first $58,700 for each employee, up to a maximum of $847 a week. Ideally, employers are paying the remaining 25%, but this is not required.
Don’t want to apply right now
If employers choose not to apply for subsidy, employer can request to transfer it to a future remittance or have it paid out at the end of 2020.
Refund for payroll contributions
Those eligible for the CEWS, will be eligible for a 100% refund of EI and CPP employer-paid contributions. This will cover each week for employees that are on leave with pay and for an employer who are eligible to claim CEWS for those employees.
Please collect and remit contributions as usual and then claim back the employer portion of EI and CPP.
10% Wage Subsidy Program
Federal
10% WAGE SUBSIDY PROGRAM
The 10% Temporary Wage Subsidy for Employers is a three-month measure that will allow eligible employers to reduce the amount of payroll deductions required to be remitted to the Canada Revenue Agency (CRA).
The subsidy is equal to 10% of the remuneration you pay from March 18, 2020 to June 19, 2020, up to $1,375 for each eligible employee to a maximum of $25,000 total per employer.
If you pay tax-exempt salary, wages, bonuses, or other remuneration to an eligible employee, you can still calculate the 10% Temporary Wage Subsidy for Employers on remuneration paid from March 18, 2020 to June 19, 2020. At the end of the year, the CRA will pay the amount to you.
Canada Work Sharing Program
Federal
WORK-SHARING PROGRAM
Work-Sharing (WS) is a program that helps employers and employees avoid layoffs when there is a temporary decrease in business activity beyond the control of the employer. The program provides EI benefits to eligible employees who agree to reduce their normal working hours and share the available work while their employer recovers. Work-Sharing is an agreement between employers, employees and the Government of Canada.
Timeline
Effective March 15, 2020 to March 14, 2021, and not limited to one specific sector or industry, the Government of Canada is introducing temporary special measures. Extension of the maximum possible duration of an agreement from 38 weeks to 76 weeks
Requirements
Accepting business who have been in business for only 1 year rather than 2, operate year-round, have at least 2 employees in the WS unit, be eligible to receive EI benefits, and agree to reduce their normal working hours by the same percentage and to share the available work.
Changes to the Employment Standards Act
Provincial
CHANGES TO THE EMPLOYMENT STANDARDS ACT – PROVINCIAL
The Employment Standards Act has been updated to provide new unpaid, job-protected leave for those unable to work due to personal illness, injury or specified reasons relating to COVID-19, including up to three days of unpaid, job-protected leave for employees who can’t work due to personal illness or injury.
Defer Income Tax Payments - British Columbia
Description
Income tax payments can defer payments until after August 31, 2020. This includes any payments that are due on or after March 18, 2020 and before September 2020. There will be no penalities or interest incurred. Self-employed, the deadline has been extended from April 1, 2020 to September 1, 2020.
TOURISM BUSINESS SUPPORT
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