📋 Eligible Entities - Small and medium-sized enterprises (SMEs) operating in Canada - Businesses in sectors heavily impacted by COVID-19 or other economic disruptions - For-profit corporations, partnerships, and sole proprietorships - Eligible sectors include: hospitality, food service, travel, tourism, retail, arts and culture, and other designated "highly affected" industries - Businesses must have been operating for a minimum period (typically 18 months) before application - Not eligible: Non-profits, government entities, or businesses primarily engaged in financial intermediation ### 💰 Funding Details - Loan Amount: $25,000 to $1,000,000 - Interest Rate: Low, government-guaranteed rate (below prime) - Repayment Term: Up to 10 years - Repayability: Fully repayable loan (not a grant or forgivable component) - Government Guarantee: 100% loan guarantee to lenders, reducing risk for participating financial institutions - Down Payment/Matching: No required match or down payment from business owner - Disbursement: Funds delivered through participating lenders ### 🛠️ Approved Expenses - Day-to-day operating costs (primary use) - Payroll and employee wages - Rent and lease payments - Utilities and facility costs - Inventory and supplies - Debt servicing for pre-existing business obligations - Working capital to maintain business operations - Not eligible: Capital expenditures, expansions, or non-essential business investments ### ⚠️ Conditions & Milestones - Revenue Decline Requirement: Documented 50% revenue decline within any 3-month period (non-consecutive months acceptable) - Application Documentation: Must provide financial statements, revenue evidence, and business registration details - Lender Participation: Application submitted through participating Canadian financial institutions - Timeline: Expedited processing to deliver funds quickly to affected businesses - Loan Covenants: Borrower must maintain minimum financial ratios and provide periodic financial updates - Use Restriction: Funds must be used for eligible operating expenses as outlined; mis
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