In response to the COVID-19 crisis, Akaitcho Business Development Corporation through assistance from the Government of Canada, is taking action to ensure that Indigenous business owners impacted by Covid-19 have access to the support they require through the Emergency Loan Program.
The Emergency Loan Program, which is a component of the Indigenous Business Stabilization Program, is designed as an emergency measure to support small business owners in meeting their immediate operating cash flow needs. These funds are not intended to replace government or other bank/lender emergency financing/funds that are available to businesses in Canada.
Maximum assistance is $40,000 comprised of a 75% loan and 25% non-repayable contribution. Loan and contribution are issued together.
- up to 48 months term;
- interest free;
- no payments in first 12 months;
- loan payments begin in month 13th and are fully amortized over the remainder of the term;
- principle repayments can be made voluntarily at any time after six months of issuance, without fees or penalties.
Indigenous owned businesses negatively impacted by COVID-19 can apply for this funding to support their immediate working capital and operational needs. Eligible expenses could include:
- non-deferrable operating expenses including, without limitation, payroll, rent, utilities, insurance, property taxes and regularly scheduled debt service; and
- emergency measures such as health and safety improvements, workplace sanitizing, and procedures to secure the safety of employees and prepare for business opening.
Funds may not be used to fund any payments or expenses such as prepayment/refinancing of existing indebtedness, payments of dividends, distributions and increases in management compensation.
Supporting Documents for your Emergency Business Loan application:
- A completed Application for the Emergency Business Loan here;
- A copy of your 2019 Financial Statements;
- A detailed cash flow projection for the period March 15th 2020 to March 31st 2021
- Copies of new or existing service contracts, if any; optional
- Clear copies of your Identification: Driver’s License and confirmation of Indigenous heritage (i.e. Certificate of Indian Status).
Email fully completed application with attachments to: Akaitcho@Akaitchobdc.com
If you have any questions about the loan requirements, email Akaitcho@Akaitchobdc.com or call 867-920-2502.