What is it?
The Highly Affected Sectors Credit Availability Program (HASCAP) was created for business heavily impacted by COVID-19 to access guaranteed, low-interest loans of $25,000 to $1 million to ensure your business can continue to operate. The Government of Canada guarantees your access to this loan, which is offered through your own financial institution. HASCAP offers a low interest rate of 4% and a repayment term of up to 10 years.
Eligibility:
Must be a Canadian-based business
Your business must have been financially stable and viable prior to the current economic situation
A revenue decline of at least 50% in three months (not necessarily consecutive) out of the eight months prior to the date of the HASCAP application
Must have previously applied for either the Canada Emergency Wage Subsidy or the Canada Emergency Rent Subsidy
Loan must be used to resume or continue operations,
Loan cannot be used to pay or refinance existing debt
You can apply for a HASCAP loan for each legal entity you own (up to a maximum combined amount of $6.25 million)
How to Apply
Apply through your primary financial institution
Applications open February 1, 2021 until June 30, 2021
For more details, visit the BDC website