Important Update on CEBA
The Canada Emergency Business Account (CEBA) that was created to support Canadian businesses, has now been increased from $40,000 to $60,000.
CEBA was launched on April 9, 2020. It provides interest-free bank loans, guaranteed by the government, of up to $40,000 (now $60,000) to small businesses and to not-for-profits that are operating businesses. Last week, on December 4th, it was announced that CEBA loans would increase from $40,000 to $60,000. Any businesses who have already applied for or received the $40,000 loan may apply for the $20,000 expansion.
We have had clients already apply for this loan, or inquire about CEBA. If you have any questions about how this will specifically support your business, please contact us.
Applications for CEBA will be accepted until March 31, 2021 at recognized financial institutions.
The Canada Emergency Business Account (CEBA) was summarized here, from CRA:
CEBA Requirements and Deadlines have changed:
- As of December 4, 2020, CEBA loans for eligible businesses will increase from $40,000 to $60,000.
- Applicants who have received the $40,000 CEBA loan may apply for the $20,000 expansion, which provides eligible businesses with an additional $20,000 in financing.
- All applicants have until March 31, 2021, to apply for $60,000 CEBA loan or the $20,000 expansion.
For more information about eligibility, visit the CRA page here for all the details.