'Extending BCAP will improve access to the capital needed by businesses to pay workers' salaries and cover expenses'
The federal government is extending the application for the Canada Emergency Business Account (CEBA) from Aug. 31 to Oct. 31, 2020, to continue supporting small businesses in the time of COVID-19.
The government say it is working with financial institutions to make the CEBA program available to those with qualifying payroll or non-deferrable expenses that have so far been unable to apply due to not operating from a business banking account.
Further details on these changes will be released in the coming days, including a new business account opening process through which qualifying businesses will be able to apply, according to the government.
Also, the government is extending the Business Credit Availability Program (BCAP) to June 2021 to help businesses maintain operations and keep employees on the payroll.
“Extending BCAP will improve access to the capital needed by businesses to pay workers’ salaries and cover expenses — and it will also serve as a bridge until we return to more normal borrowing conditions,” said Chrystia Freeland, deputy prime minister and minister of finance.
Since the original announcement in April, 728,000 Canadians have been able to benefit from CEBA, says Export Development Canada (EDC) on Twitter.
“This extension will allow EDC to help even more Canadian companies sustain their businesses during these challenging times.”