A new program is being launched to help businesses struggling due to the COVID-19 pandemic.
Mary Ng, Federal Minister of Small Business, Export Promotion and International Trade, announced on Tuesday the ‘Highly Affected Sectors Credit Availability Program‘ will be available starting February 1.
Restaurants, businesses in the tourism and hospitality sectors, and those that rely on in-person service are eligible for the program.
“We know that even the most resilient businesses continue to face incredible challenges,” said Ng. “By investing in Canada’s businesses, as well as workers and their families, we are investing in our shared recovery and a better future for all.”
Through HASCAP, the Business Development Bank of Canada will work with participating Canadian financial institutions to offer government-guaranteed, low-interest loans of up to $1 million.
Chain hotels and restaurants with multiple locations under one related entity could also be eligible for up to $6.25 million.
“HASCAP gives those in highly affected sectors—like tourism, hospitality, arts, and culture—new support so they can weather this storm and be ready for a robust recovery that will create jobs and strengthen the middle class,” added Chrystia Freeland, Deputy Prime Minister.
Applications will start to be accepted at principal financial institutions on Monday and more widely on February 15.
