To assist businesses dealing with COVID-19, we’ve created this resource page which contains all the information on business supports announced by the Federal, Provincial and Municipal levels of Government. We’ve provided details and access to links below.
Federal Government Measures:
The Federal Government has taken a number of measures to try and assist businesses through this time.
Canada Emergency Wage Subsidy
The Canada Emergency Wage Subsidy covers a portion of an employee’s wages if that companies revenues have decreased due to COVID-19.
- Companies can now apply for CEWS until June 2021.
- The subsidy has also been amended and now operates as a two-tiered system that provides a subsidy amount depending on how severely a company has been impacted by COVID-19.
- Those experiencing revenue drops of up to 50% will be eligible for up to $1,129 per employee, per week.
- Companies that with more than a 50% drop in revenue over a three-month period may be eligible for a top-up which to $282 extra a week.
- Companies will still need to calculate their subsidy based on a decrease in revenue from the corresponding month in 2019 or January and February 2020.
- Companies must reapply each month to receive the subsidy.
- The subsidy applies to companies of all sizes.
- Not-for-profits/charities are also included.
- Businesses will need to attest that they are doing what they can to pay the other 25% of salaries for employees.
- Applications can be made through the CRA website.
- The payout will then be made to a direct deposit system, which is already used by 50% of companies in Canada.
The Federal Government has proposed extending the 75% subsidy rate until March 31st, 2021.
Apply for CEWS here.
Access the CEWS Calculator here.
Read How the Subsidy is calculated here.
Large Employer Emergency Financing Facility (LEEFF)
- A bridge financing program for large businesses to help them keep employees on the payroll.
- Will provide support to employers with annual revenues of more than $300 million, who are unable to secure credit from regular financial institutions.
- Companies will need to disclose their environmental plans to secure the loan.
- Companies from all sectors are eligible to apply.
See further information on LEEFF here.
Additional Small Business Support
- $962 million to regional development agencies and community futures network.
- This fund will help businesses that don’t qualify for the Canada Emergency Wage subsidy and those who don’t have a relationship with traditional banks.
- $270 million to the Futurepenuer and industrial research assistance programs which will support start-ups and new companies
- $500 million to heritage Canada to assist the Arts culture and sports sectors.
- This fund will aim to provide wage support to those experiencing liquidity problems within this sector.
Canada Emergency Rent Subsidy
- Aimed at businesses, non-profit organizations, or charities who have seen a drop in revenue due to COVID-19.
- The subsidy will cover a portion of commercial rent or property expenses for eligible businesses.
- Businesses that have experienced a decline in revenue can have up to 65% of their rent covered.
- Businesses forced to close due to a Government-mandated shutdown can have up to 90% of their rent covered.
- Replaces the original CECRA program, with Landlord input no longer needed.
- The program runs retroactively from September 27, 2020, until June 2021.
Business Credit Availability Program
The Canadian Government has used the Business Development Bank of Canada (BDC) and Export Development Canada (EDC) to provide $65 billion of additional funding to businesses. The program includes:
Canada Emergency Business Account
- The new Canada Emergency Business Account will provide interest-free loans of up to $40,000 to small businesses and not-for-profits,
- To qualify, these organizations need to demonstrate they paid between $20,000 to $1.5 million in total employment income in 2019.
Loan Guarantee for Small and Medium-Sized Enterprises
- EDC is working with financial institutions to issue new operating credit and cash flow term loans of up to $6.25 million to SMEs.
Co-Lending Program for Small and Medium-Sized Enterprises
- BDC is working with financial institutions to co-lend term loans to SMEs for their operational cash flow requirements.
- Eligible businesses may obtain incremental credit amounts of up to $6.25 million through the program.
These programs will be available three weeks after March 27, and interested businesses should work with their current financial institutions.
This program is targeted at companies with annual revenues in excess of approximately $100 million and up to $500 million.
- Provides a loan of $12.5 million to $60 Million and is available until September 30, 2020
- Companies need to prove that they have been negatively impacted, directly or indirectly, by COVID-19
Read more about the program here.
The Business Development Bank (BDC) can assist you if you are either an entrepreneur or a small business with these three options. To contact the BDC, either reach them at their financing request page or through their toll-free contact number at 1-877-232-2269 (Monday to Friday, from 7:30 a.m. to 8:00 p.m. Saturday and Sunday from 9:00 a.m. to 5:00 p.m.).
The Export Development Canada is designed to assist exporting companies with relief options. You can reach them by emailing email@example.com
The Federal Government has announced the Regional Relief and Recovery Fund which will provide financial support to SMEs that are unable to access other federal COVID-19 relief measures. Eligible SMEs in Southern Ontario will be able to apply for this financial assistance through FedDev. Read the full information on the RRRF here.
Canada Emergency Response Benefit
The Government of Canada has announced a monthly response benefit to assist those who are unable to work due to COVID-19. The Canada Emergency Response Benefit (CERB) is a taxable benefit that will provide:
- CERB provides $2,000 a month, for up to 28 weeks, for workers who lose their income as a result of the COVID-19 pandemic.
- This program is specifically aimed at workers who would not normally be eligible for EI.
- It would cover Canadians who have lost their jobs, are sick, quarantined, or taking care of someone who is sick with COVID-19, as well as working parents who must stay home without pay to care for children who are sick or at home because of school and daycare closures.
- This program also applies to self-employed workers, seasonal workers and those who have recently run out of EI. People who make less than $1,000 a month due to reduced work hours will also qualify.
The Federal Government has announced that CERB will be extended by an additional 4 weeks before transitioning into a series of new programs. These proposed changes include:
- Moving eligible CERB recipients to EI to receive a minimum benefit of $400 a week for up to 26 weeks.
- Setting up the Canada Recovery Benefit, which will provide $400 for self-employed workers and those ineligible for EI.
- The Canada Sickness Recovery Benefit, which will provide those who are either ill or must self isolate with $500 for up to 2 weeks.
- The Canada Recovery Caregiving Benefit will provide $500 for 26 weeks for caregivers of children, relatives or dependents.
Visit the government website to learn more about CERB.
- Deferral of Sales Tax Remittance and Customs Duty Payments
- Businesses, including self-employed individuals, can now to defer the following until June 30, 2020
- Payments of the Goods and Services Tax/Harmonized Sales Tax (GST/HST)
- Customs duties owing on their imports.
- The deferral will apply to GST/HST remittances for the February, March and April 2020 reporting periods for monthly filers;
- January 1, 2020 through March 31, 2020 reporting period for quarterly filers;
- For annual filers, the amounts collected and owing for their previous fiscal year and installments of GST/HST in respect of the filer’s current fiscal year.
- For GST and customs duty payments for imported goods, the deferral will include amounts owing for March, April, and May.
- The City of Vaughan has extended it’s a Municipal Accommodation Tax (MAT) until September 1st, 2020. Read more here.
- The 2020 tax deadline has been extended to June 1st, 2020.
- Payment deadline for those who owe taxes has been deferred until after August 31, 2020.
- The Government of Canada has launched a dedicated page for Canadian businesses to provide them with the information and resources to navigate the challenges of COVID19 which can be accessed here.
Provincial Government Measures:
Provincial Shutdown Information
- Shutdown begins December 26th at 12:01 am
- All non-essential businesses closed for at least 28 days
- Ontario Small Business Support Grant launched to assist businesses
- Remote learning for all schools until January 11th for elementary students and January 25th for secondary
The Government of Ontario has released its 2020 Action Plan responding to COVID-19. Some of these benefits include:
- The Government has launched the COVID-19 Energy Assistance Program for Small Business (CEAP-SB) to help small businesses and charities who are struggling to pay their energy bills.
- Cutting taxes for employers through a temporary increase to the Employer Health Tax (EHT) exemption.
- Introduction of the Regional Opportunities Investment Tax Credit, a new corporate income tax which will support regions lagging in employment growth.
- Providing five months of interest and penalty relief for businesses to file and make payments for the majority of provincially administered taxes.
- Deferring the upcoming June 30 quarterly municipal remittance of education property tax to school boards by 90 days. This will allow municipalities flexibility to provide property tax deferrals to residents and businesses.
- Tax and electricity bill rebates for businesses required to shut down or significantly restrict services. Click here for more information.
Read more here.
Provincial Framework for Re-Opening the Economy
The Provincial Government has announced the first stage of the framework for re-opening the economy. Multiple businesses across several sectors will be able to re-open under strict health and safety guidelines.
- See the Essential Business list here.
- See the Government health and safety guidelines for re-opening here.
- See which businesses are allowed to open here.
- Read stage one of the re-opening framework here.
- Access Road to Retail Recovery Guide here.
- Read the Re-Opening Guide for Restaurants here.
Submit your re-opening plans and ideas to the Ontario Jobs and Recovery Committee here.
Ontario Together Fund
- The Ontario government is launching a new $50 million Ontario Together Fund to help businesses provide innovative solutions or retool their operations in order to manufacture essential medical supplies and equipment.
For further information, visit the Ontario Together portal.
The Ontario Government has committed $500,000 towards the ‘Ontario Made’ initiative to support the Ontario manufacturing sector.
For further information, visit the Ontario Made portal.
- To see the announcement of the Ontario Virtual Action Centre please click here.
- The Government has changed rules on the Work-Sharing Program. Details here.
- The Government of Canada’s Covid-19 Economic Plan can be accessed here.
- The City of Vaughan has introduced measures to protect the local economy. See more here.
- The Canadian Chamber’s Business Pandemic Preparedness Guide can be accessed here.
For up-to-date public health information about COVID-19:
- Public Health Agency of Canada
- Government of Ontario of Health & Wellness
- York Region Public Health
- WHO (World Health Organization)
Check out the business tips page we have created which contains information on resources sent to us by our members. If you have an informative business tip that would be helpful to share with the Vaughan business community, please send it to us at firstname.lastname@example.org.