CEBA loan overview

The Canada Emergency Business Account (CEBA) is available to businesses who meet the eligibility criteria below, subject to the ongoing availability of government funding.

CEBA will provide qualifying businesses an interest-free loan of $40,000 until December 31, 2022. You don’t to make any repayments until December 31, 2025, when the full loan is due.

If you repay $30,000 by December 31, 2022, the remaining $10,000 of the loan will be forgiven. If you don’t repay the $30,000 by December 31, 2022, the remaining balance will be converted to a 3-year term with a 5% annual interest rate.

Full details are included in the agreement below.

Before submitting your CEBA application, you must complete the CEBA Pre-Screen Tool to see if you meet the CEBA criteria.

Attestation

As part of the online application, you must attest to all the conditions below in order to apply:

The undersigned hereby certifies to Manulife Bank (the "Lender") for and on behalf of the applicant (the "Borrower") that:

  1. I have the ability and authority to bind the Borrower.
  2. The Borrower is an active operating business that is a sole proprietorship, partnership or a Canadian-controlled private corporation (“CCPC”) that was in operation in Canada on March 1, 2020. The Borrower’s legal name on record with the Canada Revenue Agency (“CRA”) is:*

and its business, operating, or trade name (if different from its legal name) is:

Please note that a sole proprietor’s legal name is the individual’s legal name as it is recorded in the CRA’s Business Number (BN) registry. A CCPC’s legal name must be written as it appears in its (federal or provincial) corporate registry. A partnership’s legal name is the partnership’s legal name as it is recorded in the CRA’s Business Number (BN) registry.

  1. The Borrower has an active CRA Business Number (BN) with an effective date of registration on or prior to March 1, 2020.
  2. The following information is true and accurate (and the Borrower understands that the GOC will verify the accuracy of such information):
    1. The Borrower’s total employment a) income paid in the 2019 calendar year was greater than Cdn.$20,000 and less than Cdn.$1,500,000;
    2. The Borrower’s CRA Business Payroll Number (BN) (15 digits), as reported at the top of the Borrower’s 2019 T4 Summary of Remuneration Paid (T4SUM), is:*
      Note: The Borrower’s 15-digit CRA Business Payroll Number must include the letters “RP”. Payroll numbers with the letters “RC” or “RT” will be rejected.

Note: Usually a Borrower will have only one CRA Payroll Program Account, but some Borrowers have more than one. If the Borrower has more than one CRA Payroll Program Account, please enter the first one in the series.  

  1. The total employment income reported by the Borrower on all employee T4 slips for 2019 is:*

    If you paid less than $20,000 in total employment income, complete this form.

Note: Total employment income can be calculated by adding the amounts shown in Box 14 on each of the Borrower’s 2019 T4SUM statements, except where the Borrower also pays employment income that is tax-exempt under the Indian Act. In this case, the sum of all tax-exempt employment income for 2019 as reported in Box 71 of each employee’s T4 slip for 2019 should be added to the above total of all amounts shown in Box 14 of the Borrower’s T4SUM statements. For additional clarity, where a Borrower has more than one CRA Payroll Program Account, and therefore more than one T4SUM statement, total employment income paid in the 2019 calendar year is the sum of the amounts shown in Box 14 of ALL OF the Borrower’s 2019 T4SUM statements plus, if applicable, the sum of all tax-exempt employment income reported in Box 71 of the T4 slips for 2019 of ALL OF the Borrower’s employees. A Borrower cannot obtain more than one loan under the Program (as defined below), even if the Borrower has more than one CRA Payroll Program Account.

  1. The Borrower can and shall demonstrate the above information by presenting applicable records if and when requested upon audit by the GOC, and the Borrower shall cooperate with the GOC in conducting such audits including, without limitation, requesting or instructing third parties to provide information as may be necessary.
  2. The Borrower consents to the Lender providing to the GOC the data elements necessary to evidence electronic confirmation by the Borrower of this Attestation.
  3. Per the requirements of the Canada Emergency Business Account Program (the “Program”), as set out by the Government of Canada, the undersigned acknowledges that the funds from the loan under the Program shall only be used by the Borrower to pay (i) Eligible Non-Deferrable Expenses (as defined below) of the Borrower, or (ii) other expenses of the type described in clauses (i) – (ix) of the definition of Eligible Non-Deferrable Expenses of the Borrower incurred or to be incurred in 2021.

    Eligible Non-Deferrable Expenses” means the following expenses (and only the following expenses) incurred or to be incurred in 2020 provided that they are not deferrable after 2020: 
    1. wages and other employment expenses to independent (arm’s length) third parties; 
    2. rent or lease payments for real estate used for business purposes; 
    3. rent or lease payments for capital equipment used for business purposes; 
    4. payments incurred for insurance related costs; 
    5. payments incurred for property taxes; 
    6. payments incurred for business purposes for telephone and utilities in the form of gas, oil, electricity, water and internet; 
    7. payments for regularly scheduled debt service; 
    8. payments incurred under agreements with independent contractors and fees required in order to maintain licenses, authorizations or permissions necessary to conduct business by the Borrower; and 
    9. any other expense in a category other than the above as may be indicated by GOC under the Web Page from time to time as being an Eligible Non-Deferrable Expense for the purpose of the Program.

For greater certainty, the following expenses are not Eligible Non-Deferrable Expenses and the Borrower cannot use the funds received under the Program to pay such expenses: any other payments or expenses such as prepayment/refinancing of existing indebtedness, payments of dividends, distributions and increases in management compensation, in each case except to the extent that such expense falls under clause (i) above.

  1. The Borrower has an active business chequing/operating account with the Lender.
  2. The Borrower has not previously used the Program or the COVID Indigenous SMEs Initiative and will not apply for support under the Program at any other financial institution or for support under the COVID Indigenous SMEs Initiative.
  3. The Borrower understands that (a) any attempt to have more than one loan under the Program may result in default under the loan in respect of which this Attestation is being provided, prosecution or other enforcement measures available at law or otherwise and (b) receiving support under the COVID Indigenous SMEs Initiative disqualifies the Borrower under the Program and may result in default under the loan in respect of which this Attestation is being provided, prosecution or other enforcement measures available at law or otherwise.
  4. The Borrower agrees to participate in post-funding surveys conducted by GOC and agrees that relevant contact information of the Borrower can be shared with the GOC for that purpose.
  5. The Borrower acknowledges its intention to continue to operate its business or to resume operations.
  6. Per the requirements of the Program, as set out by the Government of Canada, the Borrower confirms that:
    1. wages and other employment expenses to independent (arm’s length) third parties; 
    2. rent or lease payments for real estate used for business purposes; 
    3. rent or lease payments for capital equipment used for business purposes; 
    4. payments incurred for insurance related costs;
  7. The Borrower acknowledges that the Lender, and the GOC will rely upon the accuracy of this Attestation and associated documentation (including copies of Eligible Non-Deferrable Expense Documents) in making loans and advances to the Borrower pursuant to the Program and acknowledges and agrees that an audit or investigation may be conducted by the Lender or by the GOC to ascertain the veracity of this Attestation and such information and the eligibility of the Borrower under the Program. The Borrower also consents to the sharing between the Lender and the GOC of information relating to the outcome of any such audit or investigation, and any related information and documentation.
  8. The Borrower acknowledges that any breach of or inaccuracy in any statement or information provided herein or in any associated documentation shall result in the Borrower’s ineligibility under the Program, trigger an immediate obligation to repay to the Lender any loans made to the Borrower under the Program, and could result in the criminal prosecution of the individual making the Attestation, the Borrower, and other individuals involved in the provision of inaccurate information on behalf of the Borrower. Knowingly submitting inaccurate information or documentation as part of this Attestation could result in criminal penalties of up to 14 years’ imprisonment, as well as significant fines, and the court-ordered repayment of any monies advanced.
  9. The Borrower understands and agrees that all information (including, for greater certainty, any personal information or taxpayer information as defined under s. 241 of the Income Tax Act) obtained or maintained by the Lender or the GOC in connection with the Program, including the information included in this Attestation, obtained from the CRA and other documentation, can be shared between the Lender and the GOC including for the purposes of administering, monitoring and auditing the Program and/or for research and statistical purposes relating to the Program. The Borrower hereby consents to the Lender and the GOC collecting and using such information for these purposes.
  10. For the purposes of verifying the Borrower’s eligibility for this Program, the Borrower hereby authorizes the CRA to share its business income and expenses, business number, legal name and address in respect of the 2018 and/or 2019 and/or 2020 tax years with the GOC, and further authorizes Export Development Canada, and its agents to act as the Borrower’s representative with the Canada Revenue Agency, to CRA in order to share such required information in respect of the Borrower.
  11. The Borrower consents to the GOC publicly releasing its name by way of posting on a government website and/or tabling in a Parliamentary report or publication, as may be required for the Government of Canada to satisfy public accountability requirements
  12. The Borrower acknowledges and agrees that neither the GOC nor the Lender shall be liable for any damages arising from the use by others of information or other materials (including the Eligible Non-Deferrable Expense Documents) obtained through electronic, telecommunications or other information transmission systems (including the Web Page) except to the extent such information or other materials have been obtained by others as a result of the actions of the GOC or the Lender, respectively, which would constitute the wilful misconduct or gross negligence of the GOC or the Lender.

    Current list of GOC COVID Response Programs: Canada Emergency Wage Subsidy, 10% Temporary Wage Subsidy, Canada Emergency Commercial Rent Assistance, Regional Relief and Recovery Fund, Futurpreneur Canada, Northern Business Relief Fund, Fish Harvester Grant, relief measures for Indigenous businesses, $250 million COVID-19 IRAP (Industrial Research Assistance Program) Subsidy Program, and Canada Emergency Rent Subsidy.

Your business information

Business owner/authorized representative information

Business owner information Acknowledgment & Agreement

Please read the following documents:

The Loan Agreement and Privacy Agreement noted above will govern the loan. Please print and/or download a copy of the Loan Agreement and Privacy Agreement for your records.

You'll get an update on your CEBA approval status within 3 business days, and if you're approved for a CEBA loan, the funds will be deposited directly into the account that you provided above on the application within 5 business days. Any information you provide is secure and confidential.