HASCAP Loan
The Government of Canada has introduced the Highly Affected Sectors Credit Availability Program. Businesses heavily impacted by Covid-19 can access guaranteed, low interest loans of $25,000 to $1 million to cover operational cash flow needs.
To be eligible, your business must have been financially viable prior to the current economic situation and in operation as at March 1, 2020. It MUST also fall into one of the following categories:
Your business has received the Canada Emergency Wage Subsidy (CEWS) or the Canada Emergency Rent Subsidy (CERS) by having demonstrated a minimum 50% revenue decline for at least 3 months within the last 8 month period.
Your business has not received CEWS or CERS and it qualifies for one of the two programs. You must first apply for the CEWS or CERS demonstrating that your business has experienced a minimum 50% revenue deduction for at least 3 months within the last 8 month period.
If the business does not qualify for CEWS or CERS, it must provide financial statements that reflect at least 3 months (which do not need to be consecutive) of a monthly year-over-year decrease of a minimum of 50% per month within the last 8 months.
To start the application process, you must:
1. Complete the form here to obtain your unique ID code.
2. Wait for an email confirming your unique ID code.
3. Provide your unique ID code to your financial institution.
Your business will be required to provide the CEWS or CERS attestation forms demonstrating required revenue decline (and proof of payment under the Program) during the application process with your financial institution.
Please note: the loan is to be used to continue or resume operations. The loan cannot be used to pay or refinance existing debts.