CEBA - Canada Emergency Business Account

October 26th Update

Updates have recently been made to the Canada Emergency Business Account (CEBA) program.  For details about the changes on  CEBA 4.0 click here.

The CEBA Pre-Screen Tool is a quick reference tool for potential applicants to see if they may meet CEBA criteria. Please note, this is not an official CEBA application. You can access the pre-screen tool here.

The new CEBA 4.0 applications are now available on our website.  To apply  click here.

If you have already applied for a CEBA loan and have questions, you can contact the CEBA Call Centre at 1-888-324-4201 for the status of your application.

August 31st Update

Application deadline for the Canada Emergency Business Account (CEBA) has been extended from August 31st to October 31, 2020.  Click here for details!

July 22nd Update

CEBA 3.0  applications are now availabe!

As of June 26th, the CEBA program has been expaned!  For details visit the Federal Government's CEBA Information Page. 

What is the Canada Emergency Business Account (CEBA)?
 
  • The CEBA provides government guaranteed loans for up to $40,000 to help small businesses as well as Not-For-Profits to cover operating costs that cannot be deferred as a result of COVID-19.
  •   The loan will be funded as a $40,000 term loan, 0% interest and no payments until December 31, 2022.
  •  No interest applies until January 1st, 2023.
  •  Commencing on January 1st, 2023, interest accrues on the balance of the term loan at the rate of 5% per annum, payable monthly on the last day of each month.
  •  If you repay $30,000 (75% of the balance of the term loan) on or before December 31, 2022, the remaining $10,000 of your term loan will be forgiven.
  •  If you do not repay 75% of the balance of the term loan on or before December 31, 2022, the full loan balance and all accrued and unpaid interest will be due and payable on December 31, 2025.
Who can apply?

Business members or not-for-profit members registered in Canada, who use a Crossroads Credit Union business account for daily operating of their business.  If day-to-day transactions are not done through this account, you must apply for this benefit through your primary financial institution.

What are the Eligibility Requirements?
  • The Borrower has an active business chequing/operating account with Crossroads Credit Union as its primary financial institution. This account was opened on or prior to March 1, 2020 and was not in arrears on existing borrowing facilities, if applicable, with the Lender by 90 days or more as of March 1, 2020.
  • Your business has been a registered and operational business on or before March 1, 2020.
  • The person enrolling for the Canada Emergency Business Account must have the ability and authority to bind the organization.
  •  Your payroll expense in the 2019 calendar year was between $20,000 and $1,500,000.  You will be required to provide the following information:
    • Your Employer account number, as reported at the top of your 2019 T4 Summary of Remuneration Paid. 
    • Employment income reported in Box 14 of your 2019 T4 Summary of Remuneration Paid. 
    • A copy of your 2019 T4 Summary of Remuneration Paid, if requested (If you cannot locate your T4 Summary of Remuneration Paid, you will need to contact CRA)
  •    The Borrower has not previously used the Program and will not apply for support under the Program at any other financial institution.
  •   The Borrower acknowledges its intention to continue to operate its business or to resume operations. 
  •  As per the requirements set out by the Government of Canada, you must agree to use funds from this loan to pay for operating costs that cannot be deferred, such as payroll, rent, utilities, insurance,  property tax and regularly scheduled debt service payments.
  • The funds may not be used to fund payments of expenses such as repayment or refinancing of existing indebtedness (including other indebtedness to the Credit Union), payments of dividends, distributions, or increases in management compensation.
 

For more information, contact your local Crossroads branch of visit the Federal Government's CEBA Information Page.

 
We are here for you, and we will get through this together!  You First. Banking Second.
Credential Direct CUDGC