CBDC Central PEI is a provider of the Atlantic Canada Opportunities Agency (ACOA) Regional Relief and Recovery Fund (RRRF) for “Main Street Businesses” called The Urban Main Street Loan Initiative. The business must be located in the Greater Charlottetown area (Charlottetown, Stratford and Cornwall).

This loan is to be used to finance the everyday operations of a business such as sales and marketing, product development, wages and other activities for businesses such as retail shops, restaurants, corner stores, etc., and businesses of strategic importance to the community.

General Details:

• Maximum loan of $40,000
• 0% interest until December 31, 2022;
• No principal payments until December 31, 2022;
• Principal repayments can be voluntarily made at any time without penalty;
• 25% up to a maximum of $10,000 in loan forgiveness is available, provided the outstanding balance is paid back by December 31, 2022;
• If any part of the balance is not paid by December 31, 2022, the remaining balance will be converted to a term loan effective January 1, 2023; and,
• The full balance must be repaid no later than December 31, 2025.

Eligibility

• The Applicant must have attempted to access other federal relief measures under Canada’s COVID-19 Economic Response Plan, such as the Canada Emergency Business Account (CEBA), the Wage Subsidy benefits, the Commercial Rent Assistance for small businesses among others, and was either ineligible or rejected, or accessed COVID-19 relief measures and continues to experience liquidity issues.
• The Applicant is required to attest that they applied for other federal benefits and were approved, rejected or deemed ineligible.
• The Applicant must have been established before March 01, 2020.
• The Applicant must have been adversely impacted because of the COVID-19.
• The Applicant office must be located within the Greater Charlottetown area.
• Assistance may be provided to sole proprietorships, partnerships, incorporated companies and cooperatives.
• The Applicant must be the majority shareholder of the business and have the authority to bind the business.

Eligible Costs

Eligible costs include costs that will help to stabilize businesses to mitigate impacts of COVID-19 and which are not covered by other COVID-19 relief measures. These costs may be eligible as of March 15, 2020 and include, but not limited to the following:

1. Rent (only eligible if the commercial rent program is not accessed);
2. Rent or lease of equipment and machinery;
3. Salaries and benefits (only eligible if not eligible or rejected through the Canada Emergency Wage Subsidy (CEWS)
4. Property taxes;
5. Utilities;
6. Cleaning supplies;
7. Additional safety measures;
8. Bank interest/charges and loan repayment (interest);
9. Office supplies;
10. Vehicle operating expenses;
11. Professional fees;
12. Insurances, and
13. Other fixed overhead costs and one-time stabilization expenditures.

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