From XU Magazine, 
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Canadian Small Business Covid-19 Relief Programs

April 8, 2020

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The Canada Emergency Wage Subsidy

Details at Government of Canada Website

Provide a 75 per cent wage subsidy to eligible employers for up to 12 weeks, retroactive to March 15, 2020 (paid between March 15 and June 6, 2020)

Eligible employers that see a drop of at least 30 per cent of their revenue

75 per cent of the amount of remuneration paid, up to a maximum benefit of $847 per week; and the amount of remuneration paid, up to a maximum benefit of $847 per week or 75 per cent of the employee’s pre-crisis weekly remuneration, whichever is less. (Max wage is ~$60,000)

Total of 12 weeks: $10,164 per employee


The amount of wage subsidy (provided under the COVID-19 Economic Response Plan) received by the employer in a given month would be ignored for the purpose of measuring year-over-year changes in monthly revenues.

For example, if revenues in March 2020 were down 50 per cent compared to March 2019, the employer would be allowed to claim the Canadian Emergency Wage Subsidy (as calculated above) on remuneration paid between March 15 and April 11, 2020.

Emergency Business Loans

Overview at BDC Website

Details at BDC Website

Financing available as part of the Business Credit Availability Program (BCAP)

Two financing programs are available through the BCAP: The Canada Emergency Business Account and SME Loan and Guarantee program. Both initiatives will be administered by private-sector financial institutions.

Canada Emergency Business Account

• Up to $40,000
• Zero interest for first year
• Available through your primary financial institution

SME Loan and Guarantee program

  1. BDC co-lending (with financial institutions)
    Up to $6.25 million
    Commercial interest rate
    10-year repayment period
    Available through your primary financial institution
  2. EDC BCAP Guarantee
    Up to $6.25 million
    Additional details available on EDC website
    Available through your primary financial institution

In order to be eligible, businesses must have been impacted directly or indirectly by recent events and have been financially viable prior to the impact from COVID-19.

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