New eligibility criteria for Canada Emergency Business Account

Richmond-Arthabaska MP and Political Lieutenant for Quebec for the Conservative Party of Canada Alain Rayes released a statement describing the latest changes to the eligibility criteria for the Canada Emergency Business Account, which allows for interest-free loans of up to $40,000 to businesses and non-profit organizations.
Sole proprietors of businesses that earn their income directly from their business, as well as businesses that rely on contract workers and subcontractors, and family businesses that pay their employees through dividends will now have access to the account.
“The Conservative Party has been calling for these changes for several weeks to ensure that we help the many businesses, organizations and entrepreneurs who have fallen through the cracks of this program. By helping them, we are supporting workers and promoting economic recovery. I am very pleased that our efforts have borne fruit, as was the case with the increase in the wage subsidy for businesses, shops and organizations from 10% to 75%. We will continue to put the necessary pressure to ensure that federal programs are adapted for the people who need them,” Rayes commented.
Farmers, who were not previously eligible for this emergency loan can now have access to the Emergency Business Account.
The purpose of the Emergency Business Account is to help businesses cover their operating costs during the period of COVID-19. It can be up to $40,000, is guaranteed by the government and is interest-free until December 31, 2022. Twenty-five per cent of the loan amount (maximum $10,000) is eligible for the exemption as long as the company repays $30,000 by December 31, 2022. If the company cannot repay the loan by December 31, 2022, the loan can be converted into a term loan with an interest rate.
The loan can be used only to pay operating expenses that cannot be deferred, such as payroll, rent, utilities, debt service, insurance and property taxes. This can be done by contacting your financial institution.
More information about the account is available at https://ceba-cuec.ca/.

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