Canada Emergency Business Account Program

The Government of Canada is implementing the Canada Emergency Business Account Program (CEBA).

This program helps small businesses and not-for-profits cover their operating costs that cannot be deferred such as wages, rent, utilities, insurance premiums and property tax during a period where their revenues have been temporarily reduced due to the economic impacts of the COVID-19 pandemic.

More information

Characteristics:

  • This program is offered through Laurentian Bank to its clients in the form of an interest-free term loan of $40,000 until December 31, 2022.
  • 25% of the loan (Cdn.$10,000) is eligible for complete forgiveness if Cdn.$30,000 is fully repaid by December 31, 2022.
  • If the loan is not repaid by December 31, 2022, it can be renewed for 3 years (until December 31, 2025) at an interest rate of 5%.

Eligibility Criteria:

Laurentian Bank clients who meet all the criteria below are eligible for the Canada Emergency Business Account Program:

  • Only an authorized signatory who therefore has the authority and power to financially bind the company can make a request.
  • The company is a Canadian operating business as of March 1, 2020.
  • The company must be registered on the federal tax roll.
  • The company total employment income paid in the 2019 calendar year was between Cdn.$20,000 and Cdn.$1,500,000
  • The company must have an active commercial current account with Laurentian Bank, which is its primary financial institution. This account was opened on or prior to March 1, 2020 and the company was not in arrears on existing borrowing facilities with Laurentian Bank by more than 90 days as at March 1, 2020.
  • No prior request for the Canada Emergency Business Account Program has been submitted by the company or will be submitted to another financial institution. Otherwise, the federal government could initiate legal action.
  • Per the requirements of the Canada Emergency Business Account program (the “Program”), as set out by the Government of Canada, the funds from this loan shall only be used to pay non-deferrable operating expenses, including, without limitation, payroll, rent, utilities, insurance, property tax and regularly scheduled debt service. The funds may not be used to cover any payments or expenses, such as existing indebtedness, payments of dividends, distributions and increases in management compensation.
  • The company acknowledges its intention to continue to operate the business or to resume operations.
Per the requirements of the Program, as set out by the Government of Canada, the company confirms that:
  • it is not a government organization or body, or an entity owned by a government organization or body;
  • it is not a union, religious or charitable organization, or a fraternal organization or entity owned by such an organization; if it is, it is a registered T2 or T3010 corporation that generates a portion of its revenue from the sales of goods or services;
  • it is not an entity owned by individual(s) holding political office; and
  • it does not promote violence, incite hatred or discriminate on the basis of sex, gender identity or expression, sexual orientation, colour, race, ethnic or national origin, religion, age or mental or physical disability, contrary to applicable laws.

To make a request:

May 19, 2020 – Important

The Government of Canada announces the broadening of eligibility criteria for the Canada Emergency Business Account (CEBA) Program.

If you are henceforth eligible for the program, we ask that you wait to submit your application until we receive the details from the Government.

We thank you for your patience.

To ensure we provide a convenient, efficient and fair access for all eligible businesses, only online applications will be accepted.

Make a request

In view of the exceptional context we are currently in the midst of, we are receiving a very high number of requests. Therefore, we ask that you complete the online form for this program only once. Our teams are working tirelessly to respond as quickly as possible, and we thank you for your patience.