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Canada Emergency Business Account (CEBA) - The $40,000 loan

This will provide a loan of $40,000 to help eligible businesses with operating costs.


  • Valid CRA Business number and operational on or before March 1, 2020.

  • Who have stopped working because of COVID-19 and have not voluntarily quit their job or are eligible for EI regular or sickness benefits;

  • Active business bank account with a financial institution on or before March 1, 2020 and must be in good standing with the financial institution.

  • 2019 payroll of $20,0000 to $1,500,000 as reported in Box 14 of the 2019 T4 Summary. Dividends issued do not qualify for this threshold (T5)

  • One person with authority to bind the corporation must attest that funds will be used for non-deferred business expenses such as payroll, rent, utilities, property tax and debt payments. Deferred expenses can consists of management bonuses, dividends, etc.

Terms of the Loan

  • Interest free and 25% of the loan is eligible for loan forgiveness, if 75% ($30,000) has been fully repaid on or before December 31, 2022. There is no obligation to pay principal payments during this period. 

  • If the loan is not repaid by December 31, 2022, it can be converted into a 3 year term loan with an interest rate of 5%, payable monthly, with no obligation to pay principal till December 31, 2025.

How to Apply:

  • Businesses must apply directly through their primary financial institution. Applications are submitted only online.Refer to the financial institution's website for instructions. 

Please note that the above eligibility list is not exhaustive. We welcome any questions via email. However, we will be unable to answer any questions via phone-calls

Canada Emergency Business Account: Text
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